Feeds

Who will be David to EMC's external disk Goliath?

Unstoppable storage king and NetApp crush rivals

Next gen security for virtualised datacentres

For seven years EMC and NetApp have increasingly dominated the external storage industry. Can they stay at the top?

Charts produced by Stifel Nicolaus analyst Aaron Rakers using his own and IDC numbers and company data show EMC and NetApp as growing at the expense of other mainstream suppliers, including Dell, HP, Hitachi Data Systems, IBM and Oracle/Sun.

The first chart shows revenues in external storage from all these vendors:

External disk revenues from mainstream vendors

Quarterly revenue history for external storage from mainstream vendors.

The second combines EMC and NetApp numbers and compares these to the rest:

EMC and NeApp vs the rest in external storage revenues

EMC/NetApp vs Dell/HDS/HP/IBM/Oracle-Sun in external storage revenues

See how the gap between EMC and NetApp on the one hand, and the rest on the other, has been widening more and more? It's evident that, although NetApp is still growing, it is not at the same pace. Its growth has slowed over the most recent quarters and it has not broken clear of the pack in the same way as EMC has. Both NetApp and EMC face challenges in continuing to grow and take business away from the others.

NetApp faces the conundrum of what to do about server flash: manage it – à la EMC Lightning – or bring data-bound servers apps into the FAS (or E-Series) arrays. Other issues include treating object storage as another FAS ONTAP extension or as a separate product line – like the E-Series. There is also the big data analytics issue which could be dealt with by partnering (Teradata) or buying in technology and establishing the E-Series as a strongly growing product line in the face of DataDirect and competition.

For EMC the big, big challenge is not a product one – all seems set fair on those multiple fronts – but rather a people issue. Big Joe goes later this year, becoming executive chairman. Does the company choose a finance/operations-focused successor like CFO David Goulden or a product engineering visionary like Pat Gelsinger? Whichever candidate is chosen to succeed Joe Tucci – be it one of these front-runners or a third contender – the EMC machine will crank out new products and grow revenues for a few quarters. But will it run out of steam as the new CEO lets EMC miss developing storage and information management trends?

How will EMC deal with the rise of DAS and converged server/storage/networking infrastructures demanding closer integration than VCE can provide? How will the relationship with Cisco develop? Will it follow the Dell model? Perhaps the archiving and content management software side of the EMC house needs a radical makeover, or needs to make an acquisition. Should EMC buy CommVault and have done with Documentum? There are lots of big questions here.

The key is the new CEO. EMC does not want to appoint its version of Leo Apotheker to the helm, although, as it happens, Leo is free at the moment ... ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
Mozilla's 'Tiles' ads debut in new Firefox nightlies
You can try turning them off and on again
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Banking apps: Handy, can grab all your money... and RIDDLED with coding flaws
Yep, that one place you'd hoped you wouldn't find 'em
TROLL SLAYER Google grabs $1.3 MEEELLION in patent counter-suit
Chocolate Factory hits back at firm for suing customers
Primetime precrime? Minority Report TV series 'being developed'
I have to know. I have to find out what happened to my life
Ex-IBM CEO John Akers dies at 79
An era disrupted by the advent of the PC
prev story

Whitepapers

Top 10 endpoint backup mistakes
Avoid the ten endpoint backup mistakes to ensure that your critical corporate data is protected and end user productivity is improved.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Backing up distributed data
Eliminating the redundant use of bandwidth and storage capacity and application consolidation in the modern data center.
The essential guide to IT transformation
ServiceNow discusses three IT transformations that can help CIOs automate IT services to transform IT and the enterprise
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.