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Global Server Market Surges to $112.4 Billion As AI And Accelerated Servers Drive Unprecedented Growth

Record Revenue Milestone in Q3 2025

The global server market achieved a historic milestone in the third quarter of 2025, generating an impressive $112.4 billion in revenue. According to the International Data Corporation (IDC), this latest period marked another round of high double-digit growth, with overall vendor revenue surging 61% year-over-year compared to the same quarter in 2024.

Robust Growth Across Server Architectures

Breaking down the figures by architecture, x86 servers recorded a strong 32.8% increase in revenue, reaching $76.3 billion. Notably, non-x86 servers experienced an even more dramatic expansion, posting a 192.7% increase to hit $36.2 billion. Servers equipped with embedded GPUs also played a pivotal role, with revenue climbing 49.4% and accounting for more than half of the total server market revenue.

AI and Cloud Adoption Fueling Expansion

Hyperscalers and major cloud service providers have been quick to embrace servers featuring embedded GPUs, a trend that has significantly fueled market growth. Consequently, the cumulative server market revenue for the first three quarters of 2025 nearly doubled, reaching an astonishing $314.2 billion. Juan Seminara, Research Director at IDC Worldwide Enterprise Infrastructure Trackers, noted, “IDC expects AI adoption to keep growing at an outstanding pace as major vendors continue reporting record orders and showing strong backlogs. Hyperscalers and cloud providers are still ahead with new, large deployments that require much higher compute density.” He further added that emerging AI-based research and education initiatives are set to bolster the market further.

Regional Leaders and Sectoral Growth

Regionally, the United States led the charge with an impressive 79.1% growth compared to Q3 2024, driven by an extraordinary 105.5% increase in the accelerated server segment. Canada followed closely with 69.8% growth, also powered by accelerated server innovations. Meanwhile, the People’s Republic of China (PRC) experienced a 37.6% year-over-year increase, contributing nearly one-fifth to the global quarterly revenue. Other regions, including APeJC, EMEA, and Japan, registered healthy double-digit growth of 37.4%, 31.0%, and 28.1% respectively, whereas Latin America saw a modest 4.1% increase.

Competitive Landscape Among OEMs

In terms of corporate performance, Dell Technologies emerged as the leader in the OEM market with an 8.3% revenue share, significantly propelled by accelerated server growth. Supermicro secured the second spot with a 4.0% revenue share, even though it faced a 13.2% decline compared to Q3 2024. IEIT Systems and Lenovo closely contended for third place with 3.7% and 3.6% shares respectively, while Hewlett Packard Enterprise captured a 3.0% share, rounding out the top five players.

Cyprus Introduces €200 Million Support Measures To Cut Energy And Food Costs

Comprehensive Relief Measures For A Resilient Economy

The government of Cyprus introduced support measures exceeding €200 million to reduce household expenses and support key sectors. The package targets energy costs, food prices, tourism and agriculture. Measures come in response to rising costs and supply pressures. Implementation begins in April and May 2026.

Energy And Fiscal Reforms

The government will reduce VAT on electricity for households to 5% from May 1, 2026, to March 31, 2027. The measure is expected to lower energy bills. Special consumption tax on transport fuels will decrease by 8.33 cents per liter between April and June 2026. Policy targets fuel-related costs.

Broadening The Zero VAT Initiative

Authorities will expand the list of products with zero VAT. Meat, poultry and fish will be included from April 1 to September 30, 2026. Existing zero-VAT categories already include fruits and vegetables. The government also decided not to introduce a green tax on fuels, avoiding an additional cost of about 9 cents per liter.

Sector-Specific Supports

The package includes a 30% wage subsidy for hotel employees for April 2026. Measure supports tourism businesses during the early season. Support for airlines aims to maintain connectivity with key destinations. The agriculture sector will receive subsidies covering 15% of costs for fertilizers and supplies in April and May.

Economic Stability, National Security

President Nikos Christodoulidis said economic stability remains a priority for the government. He noted that growth, fiscal balance and inflation trends support current policy decisions. Statement links economic policy with broader national priorities. The government continues to monitor external risks.

Ensuring Consumer Protection

Furthermore, the government has mandated rigorous market oversight and intensified inspections to prevent exploitative pricing during this period of economic intervention. This proactive stance ensures that the benefits of the measures directly serve the citizens without unintended inflationary impacts.

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