Server sales sag in the middle
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Cheap servers and expensive ones are looking fit, says IDC, but midrange models need to hit the StairMaster.
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Rising sales and net income isn't always what it seems, especially when there's a big, fat inventory hairball in the way.
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Sales might be down, but the stocks are rising.
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The survey also showed signs of weak spending throughout the second half of 2007, with the biggest slowdown hitting the server market.
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Server shipments and revenue increased in the second quarter, as Sun Microsystems and Dell gained market share at the expense of Hewlett-Packard and IBM, according to research recently released by Gartner.
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LinuxWorld If that's selling out, we want to sell out more often
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TechWeb - Customers are decoupling storage from server purchases, which explains why EMC and NetApp earnings were up and why Sun and HP were flat or down, Warmenhoven says.
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Just as Microsoft&#39;s (MSFT ) core businesses -- its Windows and Office monopolies -- are slowing down, it has found a new engine for growth: server software.
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IBM held tight to its top ranking for server revenue, laying claim to a 30.7 percent market share in the quarter. HP -- which topped the charts in terms of units shipped -- remained in second place on the revenue list with 27.
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For the first time, quarterly revenues of Linux servers have exceeded $1 billion, according to a report from IDC. While Linux sales accounted for just 9.2 percent of the $11.5 billion in servers sold in the
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Dell has cut prices on a number of products geared to enterprises. The PowerEdge 4600 dual-processor server price tag has been trimmed by about 22 percent, now starting as low as $4,194.
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InfoWorld - Sales growth for x86 servers slowed in the fourth quarter of 2006 as buyers adopted virtualization technology and waited for quad-core processors, according to a Gartner report released Thursday.
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One of the mantras of global industry  in recent years has been keeping inventories lean and mean, but  there are increasing signs this cost-cutting strategy is  creating strains and causing companies to miss out on sales.
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The argument has long been that even if IBM loses money selling PCs - and in recent years it frequently has - those sales are still a foot in the door, a route to selling higher margin servers, software and services.
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HP and Sun&#39;s ongoing bitter battle for server market share is being played out against overall global sales of servers that have surged strongly to surpass $11.
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How about a $269 server? PC maker turns on rebates, special offers to breathe life into its direct-sales efforts.
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(InfoWorld) - New numbers from Gartner show that computer server sales slowed in the third quarter, a trend the research company attributes to virtualization. Gartner's latest report on servers, released Tuesday, shows that worldwide sales grew by 4.4 percent, based on revenue, to just over $13 billion, and 9.1 percent by unit volume, to 2 billion servers. In the second quarter, sales rose 2.5 percent by revenue and 12.8 percent by unit volume. "We have seen double-digit growth in the past," said Jeff Hewitt, research director for Gartner. "Server sales are still growing, but because of virtualization, customers don't have to buy as many servers." Virtualization makes it possible to run more programs on one physical server, using more of its capacity and making it possible for a data center to handle more work with fewer servers. Among the server vendors, market share rankings remained the same in Gartner's numbers, which cover the three-month period ended Sept. 30, compared with previous quarters. IBM Corp. retained the market share lead, with 33.7 percent, based on a 7.4 percent revenue gain to $4.38 billion, from the third quarter of 2005. Hewlett-Packard Co. followed with 25.3 percent market share on a 6 percent decline in revenue to $3.29 billion. Dell Inc. ranked third with a 10.8 percent share on a 10.2 percent revenue gain to $1.41 billion. Sun Microsystems Inc. ranked fourth with a 10.1 percent share based on a 24.7 percent revenue gain to $1.31 billion. Fujitsu Computer Systems Corp. ranked fifth, with a 4.9 percent share on a 5.6 percent revenue gain to $634 million. Other vendors combined for a 15.3 percent share based on 6.5 percent revenue growth to $1.99 billion. Hewitt attributed Sun's resurgence to the introduction of new servers running the Opteron microprocessor from Advanced Micro Devices Inc., which has emerged as a strong competitor to the processors from Intel Corp. In sales based on unit volume, HP led the way with a 26.5 percent share based on 7.2 percent growth to 540,609 units; Dell ranked second with a 22.5 percent share on 10.5 percent growth to 459,950; IBM third with 16.3 percent share on 7.7 percent growth to 332,777; Sun Microsystems fourth with a 4.1 percent share on a 6.4 percent growth to 83,018 units; and Fujitsu fifth with a 3.2 percent, based on a decline of 5.9 percent to 65,171. Other server brands collectively reported 27.5 percent share on growth of 13.4 percent to 560,913 units.