Wednesday, May 29, 2024

External disk storage factory revenue down for 3rd straight quarter

Worldwide external disk storage systems factory revenues posted a year-over-year decline of -3.5 percent, totaling $5.7 billion, during the third quarter of 2013 (3Q13), according to research firm IDC.

For the quarter, the total (internal plus external) disk storage systems market generated $7.4 billion in revenue, representing a -5.6 percent decline from the prior year’s third quarter and a seasonal sequential decline of -4.1 percent compared to 2Q13.

Total disk storage systems capacity shipped reached nearly 8.4 exabytes, growing just 16.1 percent year-over-year.

“Despite the revenue contraction in the third quarter, we see strong demand for offerings targeted at heavily virtualized environments, such as integrated infrastructure,” said Eric Sheppard, research director for storage at IDC.

“However, this demand has been offset by several factors: reduced spending from the U.S. government, increased use of storage efficiency technologies, increased investment in public cloud capacity, and general price pressures associated with increased competitive environments.”

EMC and NetApp experienced the greatest year-over-year share gains during the quarter. EMC improved its share in the external disk storage systems market from 30.0 percent (3Q12) to 30.7 percent of total 3Q13 revenue.

NetApp was the second largest supplier in the market and increased its share from 11.9 percent to 13.0 percent during the same period. IBM accounted for 11.4 percent of external revenue followed by HP which accounted for 9.5 percent. Hitachi rounded out the top 5 vendors with an 8.3 percent share of revenue during the quarter.

The total open networked disk storage market (NAS Combined with non-mainframe SAN) declined by -3.4 percent year over year during the quarter to slightly less than $5 billion in revenue.

EMC maintained its leadership in the total open networked storage market with 33.7 percent revenue share, followed by NetApp’s 15.0 percent revenue share.

The Open SAN market declined by -6.1 percent year over year during the quarter. EMC lost share but was the leading vendor with 29.0 percent revenue share, followed by IBM in second with 14.4 percent market share. HP, Hitachi, and NetApp accounted for 12.5 percent, 10.0 percent, and 9.0 percent of sales, respectively.

The NAS market increased 3.9 percent year over year, led by EMC with 45.3 percent revenue share and followed by NetApp with a 30.0 percent share.

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