IDC releases global server report, Huawei's server revenue drops 45.9%

On September 10, IDC released the "Global Server Quarterly Tracking Report", which showed that the global server market revenue fell 2.5% year-on-year to US$23.6 billion in the second quarter of 2021. Global server shipments exceeded 3.2 million units in the quarter, up only 0.1% year-on-year. Batch server revenue increased by 5.6% to nearly US$20 billion; mid-range server revenue fell 30.0% to US$2.4 billion; and high-end server revenue fell 32.7% to US$1.3 billion.

Global server vendor revenue, market share, and growth rate in the second quarter of 2021 (revenue in millions of U.S. dollars):

The report shows that Huawei's revenue in Q2 2021 was 3.785 billion yuan, compared with 6.998 billion yuan in the same period last year, a year-on-year decrease of 45.9% (3.213 billion yuan).

In the second quarter of 2021, HPE/H3C (a) was in a statistical tie with Dell Technologies for first place in the global server market. The two companies had revenue shares of 15.7% and 15.6%, respectively. Inspur/Inspur Commercial Machine (b) ranked third with a revenue share of 9.4%. Lenovo ranked fourth and IBM ranked fifth, with revenue shares of 7.0% and 5.0%, respectively.

IDC reports that from a regional perspective, revenue in the Asia-Pacific region (excluding China and Japan) grew 8.6% year-on-year. Server revenue in China grew 3.4% year-on-year, while Japan fell 21.2% year-on-year. Latin American revenue grew 4.6% year-on-year, North American revenue fell 5.7% year-on-year, and Europe, the Middle East and Africa (EMEA) revenue fell 2.3% year-on-year.

Revenue generated by x86 servers increased 2.2% to $21.4 billion in the second quarter of 2021. Non-x86 server revenue decreased 4.5% year over year to approximately $2.3 billion.

"Broadly speaking, the server market was flat in the second quarter as the market shifted slightly toward single-socket server configurations," said Paul Maguranis, senior research analyst for Infrastructure Platforms and Technologies at IDC. "While server purchases directly from original design manufacturers (ODMs) were down year-over-year, the hyperscale data center segment saw some backlogs returning to deliveries, resulting in significant growth in that segment compared to the first quarter of the year."