November 23, 2005 00:01 ET

Report: IBM #1 in Global Server Revenue

IBM Leads 3Q05 Blade Server Revenue and Year-to-Year UNIX Server Revenue Growth(1)

ARMONK, NY -- (MARKET WIRE) -- November 23, 2005 -- Gartner, Inc. today reported that IBM is first in worldwide server revenue for the tenth consecutive quarter ending 3Q05, with growth in overall, UNIX® and blade server revenue.

According to Gartner, a leading provider of research and analysis about the global information technology industry, IBM increased its share in UNIX revenue, growing 3.7 points year-to-year. In addition, IBM grew 82 percent year-to-year based on blade server revenue, to take more than 45 percent of the revenue in the third quarter.

According to Gartner, IBM grew across key segments. Highlights from the report include(2):

--  IBM is number one in worldwide server revenue with 32.7 percent of
    revenue share, with total revenue up 9 percent year-to-year (YTY).
--  IBM grew its UNIX-based revenue year-to-year for the fifth consecutive
    quarter ending 3Q05 - with 29.4 percent of revenue share, gaining 3.7
    points with total revenue up 12 percent YTY.
--  IBM continued to lead in blade server revenue share for the sixth
    consecutive quarter ending 3Q05, with more than 45 percent of the revenue
    and total revenue up 82 percent YTY.
--  IBM is number one in overall Linux-based server revenue worldwide in
    3Q05, with 29.7 percent of the revenue, up 32 percent YTY.
--  IBM's eServer iSeries system revenue was up 25 percent YTY.
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(1) Based on Gartner's worldwide Server Quarterly Tracker for 03Q05, issued on November 22, 2005

(2) Growth comparisons done on a year-to-year basis.

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