The server market in the first quarter showed steady growth

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This was helped by the high demand for cloud services in connection with the COVID-19 pandemic.

Experts at Media analytic company summed up the first quarter of this year on the global server market. According to them, strong demand for servers has led to record highs for the first quarter. Analysts explain this by the demand for cloud services in connection with the COVID-19 pandemic.

server market
server market

The server market in the first quarter showed steady growth

Deliveries for the quarter exceeded 3.3 million servers, which is almost 1 million more than in the first quarter of 2019. For comparison: for the whole of 2019, 11.9 million servers were shipped, and in 2018 – 11.4 million.

If we consider the market in terms of revenue, in the fourth quarter of 2019, servers were sold at $ 22.7 billion, which is 17% more in annual terms. Analysts note that in general, in 2019, revenue from server sales decreased by 6%, to $ 78 billion due to lower server prices. One of the factors in lowering the price of servers was the reduction in the price of components – primarily memory.

Although in the first quarter of this year, server suppliers experienced significant disruptions in the supply chain and reduced production due to a reduction in the number of employees, new data show these problems have been resolved. According to Omdia’s forecast, more than 12.7 million servers will be shipped this year.

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