IBM Hardware Revenue Soars!
Tuesday, July 22nd, 2008A number of customers have mentioned over the years that surely IBM & HP must be worried about virtualisation impinging on overall hardware sales. I always said that the kinds of servers that people buy for virtualisation are usually significantly more expensive than the customers would previously have purchased. This means that the volume might be lower, but the overall spend has a tendency to be as high if not higher.
This seems to have been the case for IBM at least as they have managed to get back to the top of the server hardware sales tree in the second quarter. With revenues topping $3.9B according to Gartner which means they overtake HP with total sales at $3.8B. The interesting bit to me is how IBM can sell less than half (302,000) that of HP (680,000) and still make more money.
I read about this story over at the Avastu Blog of Tarry Singh. I particularly like this blog for its informative and insightful post.
