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IDC Says Linux Server Market Grew 36 Percent in Q4 2004

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"The growing adoption of Linux as a server platform is helping push the X86 server market to new heights and is similarly propping up the sales of non-X86 platforms that support Linux. According to market research from IDC, sales of X86 servers were up 14.4 percent in the fourth quarter of 2004 to $6.3 billion as unit shipments increased by 16.8 percent to 1.6 million X86 units shipped. Interestingly, 25 percent of the X86 servers that shipped in the fourth quarter has 64-bit main memory support from either Intel or AMD."

"Sales of new servers running Linux as their primary operating system accounted for $1.3 billion in the fourth quarter, an increase in 35.6 percent compared to the same quarter in 2003. This is the second quarter that Linux server sales were above $1 billion. Linux servers accounted for 9 percent of new server sales during Q4 2004, which is a big share gain compared to last year. Unit shipments of Linux servers increased by 29.1 percent, suggesting that average selling prices for Linux servers are increasing as the scalability of Linux increases and the acceptance of the operating system for supporting real applications, like databases and ERP systems, as well as infrastructure workloads such as print, file, and Web serving. In terms of market share, Hewlett-Packard had the lion's share of Linux server revenue share, with 26 percent of the pie, followed closely by IBM with 23.5 percent share and Dell with 15.8 percent share."

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