(UPDATED) IDC Q1 2010 Report: Blade Servers Growing, With #1 Market Share Going To…

NOTE: IDC revised their report on May 28, 2010.  This post now includes those changes.

IDC reported on May 28, 2010 that worldwide server sales for Q1 2010 factory revenues increased 4.6  4.7% year over year to $10.4 billion in the first quarter of 2010 (1Q10).  They also reported the blade server market accelerated and continued its sharp growth in the quarter with factory revenue increasing 37.1% 37.2% year over year, with shipment growth increasing by 20.8% compared to 1Q09.  According to IDC, nearly 90% of all blade revenue is driven by x86 systems, a segment in which blades now represent 18.8% of all x86 server revenue.

While the press release did not provide details of the market share for all of the top 5 blade vendors, they did provide data for the following: 

#1 market share: HP increased their market share from 52.4% in Q4 2009 to 56.2% in Q1 2010

#2 market share: IBM decreased their market share from 35.1% in Q4 2009 to 23.6% in Q1 2010.

The remaining 20.2% of market share was not mentioned, but I imagine they are split between Dell and Cisco.  In fact, based on the fact that Cisco was not even mentioned in the IDC report, I’m willing to bet a majority of that  I’m working on getting some visibility into clarification on that (if you’re with Dell or Cisco and can help, please shoot me an email.)

According to Jed Scaramella, senior research analyst in IDC’s Datacenter and Enterprise Server group,  “”In the first quarter of 2009, we observed a lot of business in the mid-market as well as refresh activity of a more transactional nature; these factors have driven x86 rack-based revenue to just below 1Q08 value. Blade servers, which are more strategic in customer deployments, continue to accelerate in annual growth rates. The blade segment fared relatively well during the 2009 downturn and have increased revenue value by 13% from the first quarter of 2008.”

For the full IDC report covering the Q1 2010 Worldwide Server Market, please visit http://www.idc.com/getdoc.jsp?containerId=prUS22356410

new link: http://www.idc.com/getdoc.jsp?containerId=prUS22360110

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