Worldwide Server Market Revenue Increased 91% During the Fourth Quarter of 2024
March 19, 2025 | IDCEstimated reading time: 2 minutes
According to the International Data Corporation (IDC) Worldwide Quarterly Server Tracker, the server market reached a record $77.3 billion dollars in revenue during the last quarter of the year. This quarter showed the second highest growth rate since 2019 with a year-over-year increase of 91% in vendor revenue.
Revenue generated from x86 servers increased 59.9% in 2024Q4 to $54.8 billion while Non-x86 servers increased 262.1% year over year to $22.5 billion.
Revenue for servers with an embedded GPU in the fourth quarter of 2024 grew 192.6% year-over-year and for the full year 2024, more than half of the server market revenue came from servers with an embedded GPU. Nvidia continues dominating the server GPU space with over 90% of the total shipments with and embedded GPU in 2024Q4. The fast pace at which hyperscalers and cloud service providers have been adopting servers with embedded GPUs has fueled the server market growth which has more than doubled in size since 2020 with revenue of $235.7 billion dollars for the full year 2024.
“IDC expects AI adoption to continue growing at a remarkable pace as hyperscalers, CSPs, private companies, and governments around the world are increasingly prioritizing those investments,” said Lidice Fernandez , group vice president, Worldwide Enterprise Infrastructure Trackers. “Growing concerns around energy consumption for server infrastructure will become a factor in datacenters looking for alternatives to optimize their architectures and minimize energy use.”
Server Regional Market Results
The United States is the second fastest growing region in the server market just behind Canada with an increase of 118.4% compared to the last quarter of 2023, but USA revenues represent 56% of the total revenue in 2024Q4 while Canada accounts for only 1.1% of total revenue globally. China is also growing at a faster rate than other regions with 93.3% year-over-year growth in 2024Q4 and accounting for almost a quarter of the quarterly revenue worldwide. Japan, APeJC and EMEA had double-digit growth this quarter with 66.9%, 43.8% and 28.2% respectively. Latin America 2024Q4 growth was 7%.
Overall Server Market Standings, by Company
Dell Technologies and Supermicro ended 2024Q4 in a statistical tie* for the number one position with 7.2% and 6.5% revenue share, respectively. Both companies had double-digit growth in revenue with Dell Technologies increasing 20.6% year-over-year while Supermicro was up 55% year over year. The next three companies Hewlett Packard Enterprise, IEIT Systems and Lenovo, are statistically tied* for the second position in the market, with shares between 5.5% and 4.9%.
The ODM Direct group of vendors accounted for 47.3% of total revenue in 2024Q4 an increase of 155.5% year over year to $36.57 billion dollars.
Suggested Items
Off-Season Slowdown and Inventory Pressure Drive Over 20% QoQ Revenue Drop for Top Five NAND Flash Brands in 1Q25
05/29/2025 | TrendForceTrendForce’s latest findings reveal that the top NAND Flash suppliers faced mounting inventory pressure and weakening end-market demand in the first quarter of 2025. Consequently, the industry saw a 15% QoQ decline in ASP and a 7% drop in shipment volume.
Eltek Reports 2025 Q1 Financial Results; Revenue Up 8%
05/20/2025 | PRNewswireEltek Ltd., a global manufacturer and supplier of technologically advanced solutions in the field of printed circuit boards (PCBs), announced its financial results for the quarter ended March 31, 2025.
Zhen Ding Reported Its 1Q25 Results, with Revenue Hitting a Record High for the Same Period
05/16/2025 | Zhen Ding TechnologyZhen Ding Technology Holding Limited a global leading PCB manufacturer, today announced its consolidated financial results for the first quarter of 2025.
The ICAPE Group Announces a 13% Growth in Revenue to €51.1M for Q1 2025
05/15/2025 | ICAPE GroupThe ICAPE Group, a global technology distributor of printed circuit boards (PCB) and custom-made electromechanical parts, announced its sales for the first quarter of 2025.
Interlink Electronics Reports Q1 2025 Result
05/15/2025 | BUSINESS WIREInterlink Electronics, Inc., a global leader in sensor technology and printed electronic solutions, reported results for the first quarter ended March 31, 2025.