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HPE Gains Market Share in Converged Systems

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Key player

According to IDC, HPE has remained a key player in the converged systems market space. IDC’s converged systems report is divided into three segments: Certified Reference Systems & Integrated Infrastructure, Integrated Platforms, and Hyperconverged Systems. 

Total certified reference and integrated infrastructure revenue declined 3.4% YoY (year-over-year) to $1.7 billion in the fourth quarter of 2017. HPE, however, managed to increase its market share to 16.9% from 15.7%, as its revenue rose 3.9% YoY (year-over-year) to $289.3 million. Dell’s revenue fell 14.5%, while Cisco’s and NetApp’s revenue rose 16.2%.

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HPE’s hyperconverged revenue rose ~340%

In the fourth quarter of 2017, total hyperconverged revenue rose 69.4% YoY to $1.2 billion. HPE’s revenue grew 340.4% to $61.6 million, and its market share rose to 4.9% from 1.9%. Top players Dell, Nutanix, and Cisco (CSCO) had market shares of 27.8%, 19.5%, and 4.5%, respectively.

Dell’s revenue grew 137.7%, followed by Cisco (CSCO) with revenue growth of 199.7%, and Nutanix at 50.6%. IDC Enterprise Servers and Storage research vice president Eric Sheppard stated that “the number of organizations deploying converged systems continued to expand through 2017.” He added that “this drove the total market value past $12.5 billion for the year. While not all market segments increased during the year, those that did grow were able to provide considerable benefits related to the most core infrastructure challenges facing today’s data centers.”

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