Ambrose McNevin Hardware giant Compaq's leadership of the PC server market is coming under increasing attack, according to figures from market research company IDC.
US figures show that for sales of PC servers Compaq lost seven per cent of market share to IBM and Hewlett Packard in the last quarter of 1995.
For the year, IDC figures show that the US market jumped by 58 per cent with 850,000 shipping. Most of these were shipped in the closing months of last year.
Compaq, which has set out on a strategy to move away from being a PC-only company, saw its share fall from 40 per cent to 33 per cent by the number of units sold in the fourth quarter, while IBM's share grew from 12 per cent market share in the third quarter to 17 per cent in the fourth. Hewlett Packard's share grew by two per cent to 13 per cent.
Earlier this year Compaq UK MD Joe McNally set out the company's strategy, saying it would embark on a process to become accepted as a mainstream IT company and not just a PC specialist.
McNally said success in the server market would determine the success of the strategy, but he accepted that the move meant moving into direct competition with the established server manufacturers such as HP and IBM.
Lou Gerstner, chairman of IBM, said last week that his company would continue to attack Compaq in the PC server market after the company admitted making a slow start. 'We are number two in PC servers and gaining gast. We believe growth is achieveable and sustainable.'
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