Skip to main content

Converged Systems Revenue Reached $12.5 Billion

Worldwide converged systems market revenue increased 9.1 percent year-over -year to $3.6 billion during the fourth quarter of 2017 (4Q17), according to the latest market study by International Data Corporation (IDC).

Full-year sales surpassed $12.5 billion in 2017, representing a 9.4 percenet increase over the previous year and the first time the market surpassed $12 billion in a calendar year.

Converged Systems Market Development

"The number of organizations deploying converged systems continued to expand through 2017," said Eric Sheppard, research vice president at IDC.

Growing demand drove the total market value. While not all market segments increased during the year, those that did grow were able to provide considerable benefits related to the most core infrastructure challenges facing today's data centers.

IDC's converged systems market view offers three segments: certified reference systems & integrated infrastructure, integrated platforms, and hyperconverged systems. Certified reference systems & integrated infrastructure are pre-integrated, vendor-certified systems containing server hardware, disk storage systems, networking equipment, and basic element or systems management software.

Integrated platforms are integrated systems that are sold with additional pre-integrated packaged software and customized system engineering optimized to enable such functions as application development software, databases, testing, and integration tools. Hyperconverged systems collapse core storage and compute functionality into a single, highly virtualized solution.


A key characteristic of hyperconverged systems that differentiate these solutions from other integrated systems is their scale-out architecture and their ability to provide all compute and storage functions through the same x86 server-based resources. Market values for all three segments includes hardware and software but excludes services and support.

The certified reference systems & integrated infrastructure market generated $1.7 billion in revenue during the fourth quarter, which represents a 3.4 percent year-over-year decline and 47.1 percent of the total converged systems market value.

Revenue from hyperconverged systems sales grew 69.4 percent year over year to $1.25 billion during the fourth quarter of 2017. This amounted to 34.3 percent of the total converged systems market. Full-year sales of hyperconverged systems surpassed $3.7 billion in 2017 -- that's up by 64.3 percent from 2016.

Integrated platforms sales declined 18.1 percent year over year during the fourth quarter of 2017, generating revenues of $675.5 million. This amounted to 18.6 percent of the total converged systems market value.

Popular posts from this blog

AI Supercycle: Server Market Growth Surge

The worldwide server market has entered a new phase defined almost entirely by artificial intelligence (AI) infrastructure economics rather than traditional enterprise refresh cycles.   The latest market data shows robust growth and a structural shift in where value is created, who captures it, and which architectures are setting the pace for the next decade. IDC reports that worldwide server revenue reached a record $112.4 billion in the third quarter of 2025, representing a striking 61 percent year-over-year increase compared to the same quarter in 2024. For context, this means the market is adding tens of billions of dollars in incremental quarterly spend, driven overwhelmingly by AI and accelerated computing requirements.  IT Server Market Development Over the first three quarters of 2025, server revenue has already reached $314.2 billion, meaning the market has nearly doubled in size compared to 2024, underscoring how AI buildouts have compressed several years of exp...