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EMC and NetApp disk revenues outstrip market

IDC quarterly disk storage numbers

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EMC and NetApp are growing disk storage revenues faster than any other supplier, with IBM the biggest loser, according to IDC's third quarter disk storage tracker report. Dark horse Sun could be catching the leading pack up.

In the IDC Worldwide Disk Storage Systems Quarterly Tracker report, external disk storage systems factory revenues showed an 8.8 per cent year-over-year growth totalling $4.9bn in the third quarter of 2008. In the meantime the total disk storage systems market only grew 1.1 per cent, to $6.6bn in revenues, because of weakening server systems sales, IDC supposes.

Within the external disk storage market any suppliers whose revenues grew less than 8.8 per cent is under-performing the market. Here are the winners and losers:

1. EMC - 23 per cent share ... 16.2 per cent growth

2. IBM - 12.7 per cent share ... -0.3 per cent decline

2. HP - 12.5 per cent share ... 3.3 per cent growth

4. Dell - 9.1 per cent share .. 8.6 per cent growth

5. NetApp - 8.2 per cent share ... 13.8 per cent growth

5. Hitachi - 8 per cent share ... 2.4 per cent growth.

Within the total disk storage systems market, where 1.1 per cent is the market growth bench mark, the revenue share numbers look like this:

1. HP - 19.8 per cent share ... -0.5 per cent decline

2. EMC - 16.9 per cent share ... 16.2 per cent growth

3. IBM - 15.2 per cent share ... -18.1 per cent decline

4. Dell - 10.4 per cent share ... -8.7 per cent decline

5. Hitachi - 6.0 per cent share ... 2.3 per cent growth

5. NetApp - 6.0 per cent share ... 13.8 per cent growth

Although Sun is listed by IDC in the 'Others' category, it grew disk storage system sales 25 per cent in its second consecutive quarter of revenue growth, with 16.1 per cent growth in external disk systems. The company sold more disk storage for Unix servers than any other supplier has done, it claimed, for the past 20 consecutive quarters. If the new Open Storage products take off then it could start approaching Hitachi and NetApp. That would be a noteworthy feat.

IDC shows IBM losing a huge share of the total disk market because, presumably, its customers bought networked storage from other vendors for IBM servers. Dell suffered the same way but to a lesser extent and is flatlining in external disk storage sales. The big winners are EMC, growing faster than NetApp and solidifying its number one spot, and NetApp. If these trends continue NetApp will overtake Hitachi in total disk storage sales and catch up with Dell in external disk storage sales. The rebranding and focus on new customers is doing Dan Warmenhoven's company a power of good. Joe Tucci has the biggest smile on his face though.

IBM could slip behind HP in external disk storage and risks falling behind Dell in a couple of quarters in total disk storage sales. Andy Monshaw, IBM's general manager of the Storage Systems and Technology Group, might be thinking it's time for all those storage acquisitions to start driving disk sales. His boss could be thinking the same thing. ®

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