When you play the game of HCI thrones, you win or you slowly shrivel up

Dell Technologies, Nutanix have more than half the market licked


Top dog Dell Technologies and second-placed Nutanix have more than half the hyperconverged infrastructure (HCI) market cornered between them.

greenlake

Nutanix and HPE sitting in a Greenlake: That disavowed hookup has actually happened

READ MORE

HPE, Cisco and Netapp all have a single-digit share and virtually no prospect of catching up.

According to Wells Fargo and IDC numbers, the HCI market was worth $1.23bn in the fourth 2017 quarter and $1.9bn in the fourth 2018 quarter – a 57.2 per cent rise.

Dell Technologies – the sum of Dell, EMC and VMware – had $460.3m in revenues in 4Q17 and $895.1m a year later, up 74.9 per cent. Nutanix revenues in 4Q17 were $371.0m, and $576.2m in 4Q18. Dell OEM'd Nutanix software with its XC series hardware, so a little double-counting is going on here.

Sales in the Others category – think Datrium, Pivot3 and Scale Computing – were $393.9m in 4Q17 and $646.1m in 4Q18, a rise of 64 per cent.

HPE's 4Q17 and 4Q18 sales were $100.4m and $147.4m respectively, a 46.7 per cent increase, meaning HPE's relative share decreased. No wonder it is now partnering with Nutanix in an attempt to grow sales.

Cisco HyperFlex sales were $56.3m and $75m in 4Q17 and 4Q18, up 33.2 per cent, meaning Cisco undergrew the market.

NetApp was the poor HCI relation, selling just $8m of HCI product in Q417 and $26.7m in 4Q18. That was a rise of 232.8 per cent but from a small starting point.

HPE, Cisco and NetApp's market shares were 7.74, 3.94 and 1.4 per cent respectively. With the Others having 33.94 per cent, Dell and Nutanix jointly accounted for 52.78 per cent.

Unless the trailing trio can outgrow the market, they will likely never amount for much as HCI suppliers.

El Reg thinks HPE was early into the market with the acquired LeftHand Networks (StoreVirtual) product but had no answer to VMware's VSAN software and EMC hardware, being simply swept aside by this fast-reacting pair. HPE's SimpliVity purchase took a year or so to be integrated, leaving it struggling to catch up.

Cisco's HyperFlex is trailing and its growth rate falling. NetApp's late entry with its SolidFire Elements-based product is paying a high price for being late. The 1.4 per cent market share is almost derisory for a company of NetApp's standing.

The underlying and fundamentally obvious elephant in the room is that hyperconverged servers need hypervisors and vSphere is the dominant hypervisor. Add in vSAN and VMware is running away with the HCI market's favoured virtual SAN software because most HCI servers use vSphere.

EMC had bought VMware before the HCI market started getting going, then Dell bought EMC and gleefully placed the crown on its own head.

Michael Dell rules in the Game of HCI Thrones, and no one else has a hope of replacing him. ®


Other stories you might like

  • US-APAC trade deal leaves out Taiwan, military defense not ruled out
    All fun and games until the chip factories are in the crosshairs

    US President Joe Biden has heralded an Indo-Pacific trade deal signed by several nations that do not include Taiwan. At the same time, Biden warned China that America would defend Taiwan from attack; it is home to a critical slice of the global chip industry, after all. 

    The agreement, known as the Indo-Pacific Economic Framework (IPEF), is still in its infancy, with today's announcement enabling the United States and the other 12 participating countries to begin negotiating "rules of the road that ensure [US businesses] can compete in the Indo-Pacific," the White House said. 

    Along with America, other IPEF signatories are Australia, Brunei, India, Indonesia, Japan, South Korea, Malaysia, New Zealand, the Philippines, Singapore, Thailand and Vietnam. Combined, the White House said, the 13 countries participating in the IPEF make up 40 percent of the global economy. 

    Continue reading
  • 381,000-plus Kubernetes API servers 'exposed to internet'
    Firewall isn't a made-up word from the Hackers movie, people

    A large number of servers running the Kubernetes API have been left exposed to the internet, which is not great: they're potentially vulnerable to abuse.

    Nonprofit security organization The Shadowserver Foundation recently scanned 454,729 systems hosting the popular open-source platform for managing and orchestrating containers, finding that more than 381,645 – or about 84 percent – are accessible via the internet to varying degrees thus providing a cracked door into a corporate network.

    "While this does not mean that these instances are fully open or vulnerable to an attack, it is likely that this level of access was not intended and these instances are an unnecessarily exposed attack surface," Shadowserver's team stressed in a write-up. "They also allow for information leakage on version and build."

    Continue reading
  • A peek into Gigabyte's GPU Arm for AI, HPC shops
    High-performance platform choices are going beyond the ubiquitous x86 standard

    Arm-based servers continue to gain momentum with Gigabyte Technology introducing a system based on Ampere's Altra processors paired with Nvidia A100 GPUs, aimed at demanding workloads such as AI training and high-performance compute (HPC) applications.

    The G492-PD0 runs either an Ampere Altra or Altra Max processor, the latter delivering 128 64-bit cores that are compatible with the Armv8.2 architecture.

    It supports 16 DDR4 DIMM slots, which would be enough space for up to 4TB of memory if all slots were filled with 256GB memory modules. The chassis also has space for no fewer than eight Nvidia A100 GPUs, which would make for a costly but very powerful system for those workloads that benefit from GPU acceleration.

    Continue reading

Biting the hand that feeds IT © 1998–2022