Low-end server recorded a massive 16.8 quarterly drop in revenue partly due weakened demand for x86 servers, IDC said. Revenue for x86-based servers declined 17 percent to $6.5 billion while shipments fell by 11.7 percent during the quarter. The falling x86 chip demand also impacted Windows based-servers, with revenue declining by 17.8 percent year-over-year to $4.8 billion.

Unix-based servers topped Windows-based server revenue, totaling $4.9 billion for the quarter, a 6.2 percent revenue decline year-over-year. Linux server revenue weakened during the fourth quarter, declining 7 percent year-over-year to $1.8 billion.

All the big server vendors saw revenue decline during the fourth quarter. IBM topped all vendors market with revenue of $4.9 billion, a 15.0 percent year-over-year decline and 36.3 market share. HP had revenue of $3.9 billion, a 10.1 percent drop with a 29 percent market share. Dell was at third place with revenue of $1.4 billion, a fall of 9.9 percent. Sun was fourth with a quarterly revenue decline of 14.1 percent to $1.2 billion, followed by Fujitsu/Fujitsu-Siemens, which saw a 14.9 percent revenue decline.