Global Server Revenue Nearly Doubles, Largely Thanks to Nvidia

IDC experts summed up the results of the last quarter for the server systems segment, reporting that revenue from their sale reached a record amount of $77.3 billion. The revenue increase of 91% was a record since 2019, and Nvidia continues to occupy more than 90% of the global market in the segment of GPU-equipped servers.

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The specified amount of quarterly revenue among processor platforms was distributed as follows: x86-compatible solutions increased revenue by 59.9% in the fourth quarter to $54.8 billion, while alternative architectures added 262.1% year-on-year to $22.5 billion. Servers with GPUs in their composition increased revenue by 192.6% in the quarter, and by the end of 2024 they generated more than half of all revenue from the sale of server systems. Revenue from the sale of servers with GPUs more than doubled compared to 2020 and reached $235.7 billion by the end of 2024.

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Notably, Canada was the region with the fastest growing revenue from server hardware sales last quarter (up 118.4%), but the US still accounted for 56% of all quarterly revenue in the segment. China is doing well, not only accounting for a quarter of global revenue for the quarter, but also showing growth of 93.3%.

Among server system suppliers, Dell Technologies remains the leader in revenue with a 7.2% share and $5.5 billion in revenue in the fourth quarter. Super Micro is not far behind with $5 billion in revenue and 6.5% of the market. The second tier includes HPE, IEIT systems and Lenovo, which together account for more than 15% of the market, but 47.3% of revenue in the server systems market in the fourth quarter came from direct deliveries of contract manufacturers to customers. It was this group of manufacturers that demonstrated the maximum revenue growth of 155.5%. The rest of the market (23.7%) is divided among smaller players.