India’s server market revenue declined 11.2% in Q4 2020, says IDC

According to the report, the x86 server market in terms of revenue declined YoY by 6.3% to reach $247.2 million in Q4 2020 from $264.0 million in Q4 2019.

At present, India x86 server market is expected to witness a YoY growth in value by 29.7% during the period of 2020-2021, according to the latest IDC WW Quarterly Server Forecast, Q4 2020 (Pixabay)

The overall server market in India suffered a decline of 11.2% year-over-year in terms of revenue to reach $266.1 million in the Q4 2020 (Oct-Dec), according to the latest IDC Worldwide Quarterly Server Tracker. The market had reported $299.6 in revenues in the fourth quarter of 2019.

The report further said that the x86 server market contribution rose to a whopping 92.9% in terms of revenue, much higher than the 4.8% growth in the same quarter last year. IDC noted that the demand from professional services, telecommunications, and manufacturing verticals helped drive the x86 server market.

It further said that services vertical, original design manufacturers (ODM) and new-age IT companies witnessed positive YoY growth. At the processor brand level, AMD recorded YoY revenue growth of 4.7%, bagging a revenue share of 8.4% at the end of Q4 2020, it added.

According to the report, Dell Technologies was the top vendor in India's x86 server market. The company had a revenue share of 29.6% and a revenue of $73.1 million. HPE stood second with a revenue of $48.2 million and a revenue share of 19.5%.

Overview of India's Server Market (IDC)

Overview of India's Server Market (IDC)

Lenovo stood at the third position with a revenue share of 10.9% and a revenue of $27 million. Cisco was in the fourth position with a revenue share of 9.1% and $22.6 in revenue.

“During 2020, the server market failed to recover as it remains impacted due to the pandemic. For 2021, we expect the server market demand to grow across hyperscalers, local data centre players, telecommunication companies, banking and financial institutions, and manufacturing firms. Government pipeline looks promising and can expect spend in H2 2021,” says Harshal Udatewar, Market Analyst, Server, IDC India.

The non-x86 server market saw a dip of 47.1% YoY to reach $18.9 million in revenue in Q4 2020. IBM dominated the segment with 49.4% of revenue share, during Q4 2020 with a revenue of $9.3 million. HPE came at second position followed by Oracle with a revenue share of 27.8% and 8.3% respectively.