IDC Declares Linux Is Red Hot in the Server Market

FRAMINGHAM, MASS. – APRIL 10, 2000 — According to the latest release of IDC's Worldwide Quarterly Server Tracker, Linux server shipments increased 166% to 72,422 units in Q499 from Q498, representing the fastest-growing operating environment in the server market.

"Even though Linux represents a small portion (approximately 6%) of the entry server market in unit shipments, it will become an important area of growth within the server market as more and more branded vendors come out with Linux server offerings and as end users select Linux servers not just because of price but because of reliability, availability, and performance as well," said Hoang Nguyen, senior research analyst for IDC's Worldwide Quarterly Server Tracker.

For the quarter, Compaq held tight to its number-one position worldwide with $84 million in factory revenue. IBM is in the second position with $33 million. Dell was third with $24 million, and Hewlett-Packard was close behind with $23 million. (In terms of unit shipments, Hewlett-Packard finished third slightly ahead of Dell.) Fujitsu Siemens rounded off the top five vendors with $13 million.

Top 5 Vendors Linux Server Unit Shipments, Q499

Q499 Market Share

Compaq 18,088 25%

IBM 7,001 10%

Hewlett-Packard 5,429 7%

Dell 5,158 7%

Fujitsu Siemens 2,286 3%

Others 34,460 48%

Total 72,422 100%

Source: IDC, 2000

In a recent IDC survey of 200 Linux users (Linux Servers: What’s the Hype, and What’s the Reality? IDC #B21610), the majority of participants estimated that their Linux servers offered at least 4 9s in availability, which translates to less than one hour of unexpected downtime per year. The study also found that Linux servers are overwhelmingly deployed to support Web applications, such as Web hosting, proxy/caching services, and email. “More than 40% of all spending on Linux servers is for Internet-related applications. Linux servers are now embedded in the Internet infrastructure and are strong competition for NT and Unix entry servers,” said Michelle Bailey, research manager for IDC's Commercial Systems and Servers program.

IDC defines the entry market as systems shipped with prices from $0 to $100K.

IDC's Worldwide Quarterly Server Tracker is the premier quantitative tool for analyzing the global server market on a quarterly basis. The Worldwide Quarterly Server Tracker includes quarterly shipments (both ISS and upgrades) and revenues (both customer and factory), segmented by vendor, family, model, region, operating system, price band, CPU type and architecture, and channel.

To purchase the Worldwide Quarterly Server Tracker, contact Hoang Nguyen at 508-935-4718 or at For more information on the Tracker, please visit For more information on IDC's report Linux Servers: What’s the Hype, and What’s the Reality? (IDC #B21610), please contact Patrick Steeves at 1-800-343-4952, ext. 6787 or at

About IDC

IDC delivers dependable, relevant, and high-impact data and insight on information technology to help organizations make sound business and technology decisions. IDC forecasts worldwide IT markets and technology trends and analyzes IT products and vendors, using a combination of rigorous primary research and in-depth competitive analysis. IDC is committed to providing global research with local content through more than 500 analysts in 43 countries worldwide. IDC's customers comprise the world's leading IT suppliers, IT organizations, and the financial community. Additional information can be found at

IDC is a division of International Data Group, the world's leading IT media, research, and exposition company.

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