And there isn't much evidence IBM costs more.
Interland Inc., a Web hosting company with HP and IBM servers, recently shifted new purchases toward IBM. The two brands were "very similar," said John Lally, Interland's product management director, but "IBM was able to win on economics, which was our most important decision point."
IBM is the world's top server seller by revenue. HP sells more units, however, and is the top supplier of servers on the Linux and Windows operating systems.
Those are two fast-growing segments, but they also produce lower profit margins.
Another risk for HP is having "an awful lot on its plate, because it is spread across so many markets" and is trying to cut costs, said analyst Charles King of the Sageza Group.
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