{"id":701,"date":"2009-06-11T23:45:39","date_gmt":"2009-06-12T03:45:39","guid":{"rendered":"http:\/\/rbach.net\/blog\/?p=701"},"modified":"2021-08-05T20:33:05","modified_gmt":"2021-08-06T00:33:05","slug":"server-sales-slide","status":"publish","type":"post","link":"https:\/\/rbach.net\/index.php\/server-sales-slide\/","title":{"rendered":"Server Sales Slide"},"content":{"rendered":"<p style=\"text-align: left;\"><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"alignleft wp-image-111085 size-thumbnail\" title=\"Server Sales Slide\" src=\"https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/recession-12.jpg?resize=75%2C75&#038;ssl=1\" alt=\"Server Sales Slide\" width=\"75\" height=\"75\" srcset=\"https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/recession-12.jpg?resize=75%2C75&amp;ssl=1 75w, https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/recession-12.jpg?w=110&amp;ssl=1 110w\" sizes=\"auto, (max-width: 75px) 100vw, 75px\" \/>Like most of us (except the bankers) global sales of servers have taken a beating since the first quarter of 2008. Server sales have declined by over $3 billion due to the <span style=\"text-decoration: line-through;\">economic slowdown<\/span> <span style=\"text-decoration: line-through;\">meltdown<\/span> recession and the growth of virtualization. Today, the global server market stands below $10 billion.<\/p>\n<p style=\"text-align: center;\"><a href=\"https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/server_globalsales.gif?ssl=1\" target=\"_blank\" rel=\"noopener noreferrer\"><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-111088\" title=\"Global Server Sales\" src=\"https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/server_globalsales.gif?resize=400%2C240&#038;ssl=1\" alt=\"Global Server Sales\" width=\"400\" height=\"240\" srcset=\"https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/server_globalsales.gif?resize=150%2C90&amp;ssl=1 150w, https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/server_globalsales.gif?resize=75%2C45&amp;ssl=1 75w\" sizes=\"auto, (max-width: 400px) 100vw, 400px\" \/><\/a><\/p>\n<p style=\"text-align: left;\"><a href=\"https:\/\/www.ibm.com\" target=\"_blank\" rel=\"noopener noreferrer\"><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"alignright wp-image-111090 size-thumbnail\" title=\"IBM logo\" src=\"https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/ibm_logo-4.jpg?resize=75%2C40&#038;ssl=1\" alt=\"IBM logo\" width=\"75\" height=\"40\" srcset=\"https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/ibm_logo-4.jpg?resize=75%2C40&amp;ssl=1 75w, https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/ibm_logo-4.jpg?w=142&amp;ssl=1 142w\" sizes=\"auto, (max-width: 75px) 100vw, 75px\" \/><\/a>Since Q1 of 2008 <a href=\"http:\/\/www.ibm.com\" target=\"_blank\" rel=\"noopener noreferrer\">IBM<\/a>&#8216;s server revenues have declined over $1 billion from $3.946 billion to $2.913 in Q1 2009. Big Blues&#8217; market share also declined from 30% to 29.3% during the same period. On the other hand, <a title=\"HP\" href=\"http:\/\/www.hp.com\/\" target=\"_blank\" rel=\"noopener noreferrer\">HP<\/a> (<a title=\"NYSE : HPQ\" href=\"https:\/\/www.nyse.com\/quote\/XNYS:HPQ\" target=\"_blank\" rel=\"noopener noreferrer\">HPQ<\/a>) revenues grew from $2.904 billion to $3.624 billion and grew their market share to 29.3%, matching IBM in Q1 2009. <a href=\"http:\/\/www.dell.com\/\" target=\"_blank\" rel=\"noopener noreferrer\">Dell&#8217;s<\/a> (<a href=\"https:\/\/www.tradingview.com\/symbols\/NYSE-DELL\/\" target=\"_blank\" rel=\"noopener noreferrer\">DELL<\/a>) revenues dropped from\u00a0 $1.590 billion in 2008 Q1\u00a0 with a 12.1% market share to revenues of $1.093 billion and an 11% market share in Q1 2009.<\/p>\n<p style=\"text-align: left;\"><a href=\"https:\/\/www.hp.com\/\" target=\"_blank\" rel=\"noopener noreferrer\"><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"alignright wp-image-111092 size-full\" title=\"HP logo\" src=\"https:\/\/i0.wp.com\/rbach.net\/wp-content\/uploads\/hp_oldlogo-1.gif?resize=50%2C48&#038;ssl=1\" alt=\"HP logo\" width=\"50\" height=\"48\" \/><\/a>According to the <em><a href=\"http:\/\/www.channelinsider.com\/\" target=\"_blank\" rel=\"noopener noreferrer\">ChannelInsider<\/a> <a title=\"www.channelinsider.com\" href=\"https:\/\/www.channelinsider.com\/\" target=\"_blank\" rel=\"noopener noreferrer\">article<\/a>:<\/em><\/p>\n<ul>\n<li>No quick recovery for server sales until the general economy recovers (CI)<\/li>\n<li>End-users continue to extend the life of existing servers (CI, other sources)<\/li>\n<li>Servers remain among the least profitable for solution providers (CI: Market Pulse)<\/li>\n<li>Demand for conventional and blade servers by end-users continues to shrink (CI: Market Pulse)<\/li>\n<li>The popularity of data center virtualization technologies have had the collateral effect of shrinking server hardware demand (CI)<\/li>\n<\/ul>\n<p><em><a title=\"Ralph Bach\" href=\"https:\/\/rbach.net\/index.php\/new-resume\/\" target=\"_blank\" rel=\"noopener noreferrer\">Ralph Bach<\/a>\u00a0has been in IT long enough to know better and has blogged from his\u00a0<a title=\"Bach Seat\" href=\"https:\/\/rbach.net\/\" target=\"_blank\" rel=\"noopener noreferrer\">Bach Seat<\/a>\u00a0about IT, careers, and anything else that catches his attention since 2005. You can follow him on\u00a0<a class=\"broken_link\" href=\"http:\/\/www.linkedin.com\/in\/rb48334\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">LinkedIn<\/a>,\u00a0<a href=\"https:\/\/www.facebook.com\/ralph.bach.14\" target=\"_blank\" rel=\"noopener noreferrer\">Facebook<\/a>,\u00a0and\u00a0<a href=\"https:\/\/twitter.com\/rbach48334\" target=\"_blank\" rel=\"noopener noreferrer\">Twitter<\/a>. Email the Bach Seat\u00a0<a href=\"mailto:\/\/bach.seat@gmail.com\" target=\"_blank\" rel=\"noopener noreferrer\">here<\/a>.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Global server sales have taken a beating since Q1 &#8217;08 and have declined over $3 billion due to the economic meltdown and the growth of virtualization<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[22],"tags":[3216,1275,216,22,168,904,43,15,37,106,360],"class_list":["post-701","post","type-post","status-publish","format-standard","hentry","category-hardware","tag-3216","tag-amd","tag-dell","tag-hardware","tag-hp","tag-hpq","tag-ibm","tag-networking","tag-recession","tag-servers","tag-virtualization"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/posts\/701","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/comments?post=701"}],"version-history":[{"count":4,"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/posts\/701\/revisions"}],"predecessor-version":[{"id":122281,"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/posts\/701\/revisions\/122281"}],"wp:attachment":[{"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/media?parent=701"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/categories?post=701"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/rbach.net\/index.php\/wp-json\/wp\/v2\/tags?post=701"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}