Disk-based storage revenues up in 2008 | | 2008-06-06 | | Although sales of servers are down, a survey by market analysts IDC has revealed an 8.4% growth in disk-based storage revenues for the first quarter of 2008.
HP leads the market, with $1.3 billion in revenue, a growth of 6.9%, taking 19.4% of the market. IBM came second, with a 4.9% revenue drop to $1.05 billion. EMC’s revenue grew 14% to take third place.
Dell recorded the biggest improvement, up 15.5%, taking their revenues to $679 million. Dell’s strong performance is attributed to their increased focus on storage systems in recent years. The established PowerVault line has been revamped and made more accessible for simple storage applications. The acquisition of EqualLogic for $1.4 billion last year has added $34 million in revenue and is expected to yield increasing dividends in the future.
The relatively poor performance of the market leaders is believed to be down to poor execution, particularly with regard to the complexities arising from the integration of a wide range of products.
Despite the excitement surrounding Sun’s launch of flash-based solid-state drives (SSD), the report does not foresee an immediate impact on revenues from traditional systems, with adoption of SSD’s being initially restricted to customers who need high performance and are prepared to pay significantly higher premiums. | |
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