Dell and Hewlett Packard Fights Over Server Share Gains

Sara Cunningham May 9, 2013 0
Dell and Hewlett Packard Fights Over Server Share Gains

There has been a long fight and trash-talking between Michael Dell and Hewlett-Packard. The fight of the executives between two large technology companies over the server sales in the first three months of the year would likely yield astounding results.

Dell and Hewlett Packard Fights over Server Share Gains 2

Dell Begins Trash Talk

Last Friday, Dell claimed in an interview with CRN trade publication that his company’s market share for servers has apparently gained. According to the figures that Dell disclosed with CRN, the IDC has found out that Dell is second in the server market around the globe. His company’s server market share jumped to nearly 28 percent. On the other hand, his rival fell to a market share below 31 percent. He then proclaimed that HP is losing the share at a shocking pace. He even went further that his company is the main reason for such loss.

HP did not respond to these words. However, HP made a comment a day earlier not to Dell’s claim but to Marius Haas, the chief of Dell Enterprise, who claimed similar figures from Gartner. According to the comment made by the marketing executive of HPS’s server group, he said that 17 years is a trend and a quarter that Dell has maintained a high market share cannot be called a trend. Dell did not wait for IDC or Gartner to publish their data. He even asked both firms to comment on that.

HP responds

Dell even wants to score more points against HP. Hewlettt-Packard made use of Dell’s buyout plan worth $24.4 million in order to create hesitation among Dell customers. HP even issued a statement and commented on this layout plan last February 5. HP said that the buyout plans usually the leaves existing customers and no further innovations would be made.

With Dell is going private, IBM is unstable, and Lenovo has plans to sell its standard server business, HP argued that it is the only company who has no significant shake-up. Thus, it is able to concentrate most on the needs of its customers. True to its words, Dave Donatelli of HP led a large Webcast with the company’s partners last week.

The Awaited Result

However, the fight between the two companies has no significant results at all. HP’s shares only had a slight increase of up to $20.76 per share while Dell has an increase of $13.35 per share only.

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