Worldwide server revenue rose 61% year over year to a record $112.4 billion in the third quarter of 2025, IDC said in figures released on December 11, 2025. The research firm attributed the expansion to rapid adoption of servers with embedded GPUs by hyperscalers and cloud service providers.
Revenue from servers with embedded GPUs increased 49.4% compared with the third quarter of 2024 and accounted for more than half of total server revenue. IDC put worldwide server revenue for the first three quarters of 2025 at $314.2 billion.
Growth varied by architecture. Revenue from x86 servers increased 32.8% to $76.3 billion, while non-x86 server revenue rose 192.7% to $36.2 billion.
Server vendors and regional growth
Dell Technologies led original equipment manufacturers with an 8.3% share of worldwide server revenue, according to IDC. Supermicro ranked second with 4.0%, despite a 13.2% year-over-year revenue decline. IEIT Systems and Lenovo were statistically tied for third with shares of 3.7% and 3.6%, respectively. Hewlett Packard Enterprise (HPE) followed with 3.0%.
The ODM Direct category, covering direct sales by original design manufacturers, accounted for 59.4% of worldwide server revenue in IDC’s figures. Revenue in that category increased 112.2% year over year.
The United States was the fastest-growing regional server market, with revenue increasing 79.1%. IDC attributed that growth to a 105.5% rise in accelerated server revenue. Canada grew 69.8%, while China increased 37.6% and accounted for almost one-fifth of worldwide quarterly revenue.
Server revenue grew 37.4% in Asia-Pacific excluding Japan and China, 31.0% in Europe, the Middle East and Africa, and 28.1% in Japan. Latin America recorded growth of 4.1%.
External enterprise storage revenue increased 2.1%
IDC’s separate storage tracker, also released on December 11, showed that worldwide external OEM enterprise storage systems revenue increased 2.1% year over year to $8.0 billion in the third quarter of 2025.
All-flash array revenue grew 17.6%, while hybrid flash array revenue declined 9.8% and hard disk drive array revenue fell 6.3%.
Midrange storage systems, defined by average selling prices from $25,000 to $250,000, were the fastest-growing price category. Revenue increased 8.1%, and the category accounted for 67.5% of external storage revenue. High-end systems priced above $250,000 recorded a 9.0% decline, while entry-level systems below $25,000 fell 8.0%.
Regional storage revenue increased 14.4% in Japan, 12.6% in Canada and 10.5% in Europe, the Middle East and Africa. China grew 9.5%, and Asia-Pacific excluding Japan and China grew 8.6%. Revenue declined 0.9% in Latin America and 9.9% in the United States, where IDC cited weak OEM performance.
Dell Technologies led the external storage market with a 22.7% revenue share despite a year-over-year revenue decline. Huawei ranked second with a 12.0% share and 9.5% revenue growth. NetApp followed with a 9.4% share and 2.8% growth. Pure Storage held 6.8% of the market and recorded double-digit revenue growth, while HPE held 5.6%.
