Global Unix server market declines

The worldwide Unix server market declined during 2Q03, according to analysts at IDC. However, despite dropping by 5.2%, the market’s quarterly drop was considerably less than the 12.7% decline it showed for 1Q03.

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By  Matthew Southwell Published  August 30, 2003

The worldwide Unix server market declined during 2Q03, according to analysts at IDC. However, despite dropping by 5.2% and generating US$4.3 billion in the market’s quarterly drop was considerably less than the 12.7% decline it showed for 1Q03.

In the highly consolidated Unix server market, where the top three vendors hold more than 88% of the market share, the competition continued to be strong during 2Q03.

Sun, which has a traditionally strong sales in the second quarter — its fiscal fourth quarter — pulled ahead to regain the number one position in this market, with 33% market share, after having tied with HP for the top position in 1Q03. HP was second with 31.4% share, while IBM was third with 24.6% share.

Despite occupying only third spot, IDC notes that Big Blue grew its Unix server revenues 20.4% year-over-year, reflecting a strong effort on IBM's part to gain share in this strongly contested market segment.

“The Unix server segment is the single largest 'slice' of the entire worldwide server market, with more than 40% of the revenue share in 2Q03," says Lloyd Cohen, research director of global enterprise server solutions at IDC.

"Unix systems, along with the associated software and services tied to these solutions, continue to drive much of the overall enterprise IT spending," he adds.

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