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STEC wins Fujitsu for its SSDs

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Fujitsu has chosen STEC as its solid state drive supplier, leaving NetApp the only enterprise storage array supplier not dealing with the SSD vendor.

The company will deploy STEC's ZEUS-IOPS drives in its ETERNUS storage arrays, replacing Fibre Channel hard drives. STEC said it had worked with Fujitsu to tailor a product configuration for it. Fujitsu's SVP for storage systems, Tetsoro Kudo, said in a statement: "STEC's cutting-edge technology on Fujitsu systems renders an exceptional value proposition for the data centre of today and beyond."

After its IBM design win, recent good results, positive outlook, and now this Fujitsu win, STEC is looking well-positioned for growth, and investors know it.

In January its share price was $4.12, its 2009 low point. When results were published on May 11 the price leapt to $10.39, and has risen steeply since then. STEC stock is now trading at $14.08, giving the business a market capitalisation of $682m. Some financial commentators expect its share price to double, which would take its market cap to $1.2bn.

If NetApp declares for STEC as well, that leaves only Pillar as a non-STEC SSD-using storage array vendor, having plumped for Intel. That gives STEC a near-monopoly of storage array SSD supply: a pretty flash performance. ®

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