23 August 2007
MUNICH - According to IDC's German Quarterly Server Tracker, the German server market continued to experience healthy trends in 2Q07, with an overall revenue increase of 8% to $805 million and unit shipments close to 89,000.

"Overall, themes such as virtualization and consolidation remained high on the agenda," said Thomas Meyer, VP, EMEA Systems and Infrastructure Solutions at IDC. "Green IT emerged as a significant issue with a focus on datacenter power efficiency and efforts to measure this area."  

As in previous quarters, blades represented a high-growth segment in the German market, with factory revenue growth of 41.5%. "With 5% revenue market share, blades continued to be a small  fraction of the overall server revenue market in Germany," said Michele Zwolinski, research analyst, European Systems Group, at IDC. "The increasing popularity of virtualization technologies, the advent of multicore and better performing processors, as well as the much improved management software offerings optimized for bladed environments will contribute to strong growth in the coming quarters."

Top Sever Market Findings
· x86 systems remained a major growth driver in the German server market, outperforming the overall market with 15.9% of revenue growth in 2Q07.

· Linux continued to aggressively gain revenue share in the German market, growing by 65.6%.

· An ongoing trend towards "appliantized" solutions for the SMB market, including, for example, management and security software stacks at good price points, drove low-end shipments.

· Itanium systems doubled in revenues and increased by 50% in unit terms, putting in another strong quarter.

· Despite stagnating System z sales and decline in its System p and System i business, IBM retained pole position in the German server market, recording 2Q factory revenue of $241 million.

· Generating overall growth of 23%, HP maintained second position in the German market. The vendor continued to benefit from its x86 volume business, grossing $132 million from x86 sales alone as well increasing its Itanium business by 56%.

· With growth just above the market, Fujitsu Siemens Computers retained third position followed by Sun Microsystems and Dell.

Top 5 Vendors, Germany Server Market Factory Revenue, 2Q07
Vendor2Q06Share2Q07ShareGrowth
IBM$249.5933%$241.3730%-3%
Hewlett-Packard$172.0923%$211.9626%23%
Fujitsu Siemens$141.9519%$155.2219%9%
Sun Microsystems$113.9815%$122.4415%7%
Dell$35.325%$38.495%9%
Others$32.594%$35.524%9%
Total$745.53100%$805.00100%8%
Source: IDC, 2007

IDC's Quarterly Server Tracker is a quantitative tool for analyzing the server market on a quarterly basis. The tracker includes quarterly shipments (both ISS and upgrades) and revenues (both customer and factory), segmented by vendor, family, model, region, country, operating system, price band, CPU type, and architecture. For more information, please contact Thomas Meyer on +49 (0) 89 36 08 69 109 or email tmeyer@idc.com.

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About IDC
IDC is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. IDC helps IT professionals, business executives, and the investment community make fact-based decisions on technology purchases and business strategy. More than 900 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends in over 90 countries worldwide. For more than 43 years, IDC has provided strategic insights to help our clients achieve their key business objectives. IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. You can learn more about IDC by visiting www.idc.com.

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© Press Release 2007