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Accelerated Servers Accounted for More Than Half of Server Sales in 1Q 2024, According to Dell'Oro GroupAI Server Demand Accelerates in Both Cloud and Enterprise REDWOOD CITY, Calif., June 18, 2024 /PRNewswire/ -- According to a recently published report by Dell'Oro Group, the trusted source for market information about the telecommunications, security, networks, and data center industries, accelerated servers equipped with GPUs and custom accelerators accounted for more than half of all server sales in 1Q 2024. Not only are the hyperscalers leading the way in deploying accelerated servers for AI workloads, but enterprises are also increasing their adoption of accelerated servers as GPU supplies improve. "Worldwide data center capex experienced the first double-digit growth in five quarters. The hyperscale Cloud service providers in US and China saw an aggregate growth rate exceeding 40 percent as AI-infrastructure investments maintained strong growth momentum," said Baron Fung, Sr. Research Director at Dell'Oro Group. "Meanwhile, there is optimism for a modest improvement in the outlook for enterprise IT spending along with a recovery in general-purpose server market later this year as end users replace servers overdue for refresh to the latest CPU platforms from Intel and AMD," explained Fung. Additional highlights from the 1Q 2024 Data Center IT Capex Quarterly Report:
Dell'Oro Group's Data Center IT Capex Quarterly Report details the data center infrastructure capital expenditures of each of the ten largest Cloud service providers, as well as the Rest-of-Cloud, Telco, and Enterprise customer segments. Allocation of the data center infrastructure capex for general-purpose and accelerated servers, storage systems, and other auxiliary data center equipment is provided. The report also discusses market trends, drivers of the leading Cloud service providers' capex growth during the quarter, and the outlook for the next year. To purchase this report, please contact us at [email protected]. About Dell'Oro Group
SOURCE Dell'Oro Group ![]() |