Jon Peddie Research: Workstation Market Shows Return of Momentum

Jon Peddie Research (JPR), which publishes a number of market reports, observed, “From mid-2008 to mid-2011, we lived through the biggest economic downturn in a generation, followed by a relatively steady, but not stutter-free, recovery.” But when it tallied up the latest numbers for workstations, it saw some signs of a return to normalcy.

Releasing its Q3 2011 Workstation Report, JPR said, “The neither hot nor cold results from the workstation market’s second quarter might not elicit any celebration, but we imagine they at least calmed some still-frayed nerves.”

According to Jon Peddie, president of JPR, “HP has steadily grown its market share over the past five years to take first place, but Lenovo has had the highest growth rate.” The market share chart published by JPR in its report shows HP with 33%, and Lenovo 8%. He also noted that, compared to last year’s market share division, Apple’s market share is down and so is Dell’s.

If you’re looking for where the action is, Peddie would tell you, “The mid- and entry-level is where the majority of the growth in workstations is now, along with mobile workstations.”

Last April, HP launched its first entry-level workstation Z210, aimed at prosumers and consumers who may not typically consider purchasing workstations. The Z210’s price begins at $569 (small form factor unit) and $659 (convertible mini-tower model).

Peddie added, “The impact of the economic crash of 2009 is finally behind us and the markets seem to be back on track for growth. The compounded annual growth rate for 2011 to 2013 is expected to be a healthy 10.8% barring unforeseen calamities in Europe and/or the Mideast.”

JPR’s press release on the Workstation Report states, “Among vendors, HP reinforced its top position in workstations, despite the company’s awkward about-face in its plans for the Personal Systems Group (PSG), the business unit that houses the company’s workstation business. Dell remained at number two, though lagging further, while Lenovo gained ground at number three, in part thanks to its nascent joint venture with NEC. And in the closely related market for professional graphics hardware, Nvidia continued its dominance of the market, with its Quadro brand stubbornly refusing to cede much share to a more competitive FirePro line from AMD.