"The uptick in the midrange server market shows there was pent-up demand for more scalable servers, through replacement for aging servers and workload consolidation," said Jean Bozman, research VP, enterprise servers at IDC. "This segment was hard-hit in 2009, during the deepest part of the economic downturn to date, but IDC expects this decline to moderate in the second half of 2010, with shipments of new midrange enterprise server products in the Unix server market, and continued demand for more scalable x86 servers in the midrange segment."
Overall, HP commanded 32.5% of the worldwide server systems, based on factory revenue, followed by IBM with 29.8%, and Dell, which represented 15.6% of the market, according to IDC. Oracle and Fujitsu rounded out the top five, the research firm said.
In the blade market, factory revenue grew 30.9% compared with the year-ago period and shipments increased 13.6%, IDC found. Blade servers made up $1.5 billion in revenue or 14% of the quarterly segment's server market revenue. Led by HP and IBM, x86 systems generate more than 80% of all blade server revenue -- and blades now represent about 19% of all x86 server revenue, according to the researcher.
"Blade adoption continued to gain momentum in the second quarter of 2010, as blades accounted for its largest portion of total server revenue since the form-factor came to market," said Jed Scaramella, research manager, enterprise servers at IDC. "Vendors continue to build out their blade offerings through enhanced virtualization, management, and I/O capabilities; customers are leveraging these technologies as part of converged systems that are a building block to future internal cloud infrastructures."