FRAMINGHAM, Mass. — (BUSINESS WIRE) — September 26, 2017 — According to the International Data Corporation ( IDC) Worldwide Quarterly Converged Systems Tracker, worldwide converged systems vendor revenues increased 6.2% year over year to $3.15 billion during the second quarter of 2017 (2Q17). The market consumed 1.78 exabytes of new storage capacity during the quarter, which was up 5.6% compared to the same period a year ago.
"The converged systems market is benefiting from an expansion into new environments and a new set of customers," said Eric Sheppard, research director, Enterprise Storage & Converged Systems. "This expansion is driven by products that are offering new levels of automation, tighter integration between technologies ,and, in many cases, software-defined solutions based on scale-out architectures."
Converged Systems Segments
IDC's converged systems market view recognizes four segments: integrated infrastructure, certified reference systems, integrated platforms, and hyperconverged systems. Integrated infrastructure and certified reference systems are pre-integrated, vendor-certified systems containing server hardware, disk storage systems, networking equipment, and basic element/systems management software. Integrated Platforms are integrated systems that are sold with additional pre-integrated packaged software and customized system engineering optimized to enable such functions as application development software, databases, testing, and integration tools. Hyperconverged systems collapse core storage and compute functionality into a single, highly virtualized solution. A key characteristic of hyperconverged systems that differentiate these solutions from other integrated systems is their scale-out architecture and their ability to provide all compute and storage functions through the same x86 server-based resources.
During the second quarter of 2017, the combined integrated infrastructure and certified reference systems market generated revenues of $1.56 billion, which represented a year-over-year decrease of 1.5% and 49.6% of the total market. Dell Inc. was the largest supplier of this combined market segment with $758 million in sales, or 48.5% share of the market segment.
Top 3 Companies, Worldwide Integrated Infrastructure and Certified Reference Systems, Second Quarter of 2017 (Revenues are in Millions) |
|||||||||||||||
Company |
2Q17 Revenue |
2Q17 Market Share | 2Q16 Revenue | 2Q16 Market Share | 2Q17 /2Q16 Revenue Growth | ||||||||||
1. Dell Inc.* | $758.2 | 48.5% | $730.4 | 46.0% |
3.8% |
||||||||||
2. Cisco/NetApp | $516.1 | 33.0% | $429.5 | 27.1% |
20.1% |
||||||||||
3. HPE | $184.7 | 11.8% | $290.7 | 18.3% | -36.5 | ||||||||||
All Others | $104.1 | 6.7% | $135.6 | 8.6% | -23.3% | ||||||||||
Total | $1563.0 | 100% | $1586.3 | 100% | -1.5% | ||||||||||
Source: IDC Worldwide Quarterly Converged Systems Tracker, September 26, 2017 |
* Note: Dell Inc. represents the combined revenues for Dell and EMC sales for all quarters shown.
Integrated Platform sales declined 4.9% year over year during the second quarter of 2017, generating $822.3 million worth of sales. This amounted to 26.1% of the total market revenue. Oracle was the top-ranked supplier of Integrated Platforms during the quarter, generating revenues of $510 million and capturing a 62.1% share of the market segment.
Top 3 Companies, Worldwide Integrated Platforms, Second Quarter of 2017 (Revenues are in Millions) |
|||||||||||||||
Company |
2Q17 Revenue |
2Q17
Market Share |
2Q16 Revenue |
2Q16
Market Share |
2Q17 /2Q16 Revenue Growth | ||||||||||
1. Oracle | $510.6 | 62.1% | $483.1 | 55.8% | 5.7% | ||||||||||
2. HPE | $65.4 | 8.0% | $84.7 | 9.8% | -22.7% | ||||||||||
3. IBM | $40.6 | 4.9% | $44.4 | 5.1% | -8.6% | ||||||||||
All Others | $205.7 | 25.0% | $252.9 | 29.2% | -18.7% | ||||||||||
Total | $822.3 | 100% | $865.1 | 100% | -4.9% | ||||||||||
Source: IDC Worldwide Quarterly Converged Systems Tracker, September 26, 2017 |