Linux bucks slowing server sales

In terms of vendor performance IDC found that HP and IBM tied for the number one position with 28.1 per cent and 27.9 per cent share respectively, with IBM losing .5 points of share and HP gaining .4 points.

Dell maintained third place in terms of revenues with 11.1 per cent market share in the first quarter of 2006. Although Dell's year-over-year revenue growth slowed to 3.6 per cent for the quarter, the company still gained market share in the quarter.

Sun Microsystems experienced 5.8 per cent year-over-year revenue growth in the first quarter of 2006 and increased its overall market share to 10.8 per cent from 10 per cent in the first quarter of 2005.

"Sun's server revenue growth and market share gains are an indication that the company's most recent product strategies are beginning to resonate with customers," said Steve Josselyn, research director for enterprise server research at IDC.

"While the majority of Sun's server revenue is driven by traditional UltraSPARC IV and UltraSPARC IV+ systems, the introduction of the Niagara-based chip, multithreaded machines and Opteron-based x-64 Galaxy products have begun to generate significant customer interest."

Fujitsu/Fujitsu-Siemens maintained fifth place in terms of factory revenue, with 6.9 per cent market share in the quarter.