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Storage: Sales Growing Again After Weak 2009
Despite a drop in year-over-year revenues in sales of storage devices in 2009, the actual capacity of storage systems sold actually grew 33 percent in 2009. The storage market finished the year at $7.3 billion in sales. Units with a total capacity of 3304 petabytes were shipped. The numbers from the IDC report don’t include sales of Solid state drives (SSDs) or flash drives.
There was an upturn of sales in the fourth quarter of 2009. Factory revenue for the fourth quarter was the first year-over-year growth quarter since the fall of 2008. The market leader in storage system sales is EMC holding a 27.9 percent share, followed by IBM with 16 percent revenue share, HP with 16.8 percent, and with NetApp and Dell at 8.3 persent and 8.1 percent, respectively. NetApp saw 16.8 percent revenue growth, and IBM also posted healthy growth of 9.0 percent. Storage sales by Sun, now part of Oracle, declined by nearly 30 percent.
Geographically, 2009 revenues were hit the greatest in Japan, Latin America, Europe, the Middle East and Africa.
While some of the sluggish performance in 2009 is attributed to the economy, another reason is that the quality of storage devices is improving. Storage is becoming cheaper and denser, and products are lasting longer and don’t require being replaced as frequently. The raw capacity of disk arrays increased last year by 39.1 percent and the cost per terabyte declined by 34.3 percent.
