Gartner Says Worldwide External Controller-Based Disk Storage Market Grew 3.4 Percent in Third Quarter of 2007

STAMFORD, Conn., December 5, 2007 — Worldwide external controller-based (ECB) disk storage revenue totaled $3.9 billion in the third quarter of 2007, a 3.4 percent increase over the same period in 2006, according to Gartner, Inc.

EMC maintained the No. 1 spot overall, finishing the quarter at 25.8 percent market share (see Table 1). IBM was in second place with 14.6 percent of the market followed by Hewlett-Packard with 12.6 percent. Hitachi/HDS took back its fourth place spot with 9.7 percent market share.  Dell dropped to the No. 5 spot with 8.7 percent share.  However, Dell showed the strongest growth year-over-year among the top-tier vendors, with 23.3 percent revenue growth for the quarter. NetApp maintained its No. 6 spot with a market share of 7.3 percent. Sun Microsystems rounded out the top vendors, remaining in the No. 7 spot with 4.2 percent market share. The “Others” vendors increased their share of the market by 8.9 percent year-over-year, accounting for 17 percent of worldwide revenue in the third quarter.

The Asia/Pacific region increased its revenue by 22.7 percent year-over-year. The growth in AP is widely distributed amongst several countries, including India, Australia, Taiwan, and China.  “Distributed growth is a positive indication of vendors’ commitment in the region,” said Donna Taylor, principal analyst for Gartner’s global Storage Quarterly Statistics program. “While each country is unique, vendors are better positioned to leverage existing relationships.” 

Table 1
Worldwide External Controller-Based Disk Storage Vendor Revenue Estimates for 3Q07
(Millions of U.S. Dollars)

Company	3Q07 Revenue	3Q07 Market Share (%)	3Q06 Revenue	3Q06 Market Share (%)	3Q06-3Q07 Change (%)
EMC *	996.1	25.8	953.9	25.6	4.4
IBM	564.8	14.6	553.6	14.8	2.0
Hewlett-Packard	484.7	12.6	474.9	12.7	2.1
Hitachi/HDS **	372.5	9.7	402.7	10.8	-7.5
Dell	335.6	8.7	272.2	7.3	23.3
Network Appliance	281.6	7.3	272.2	7.3	3.4
Sun Microsystems	163.0	4.2	196.5	5.3	-17.1
Others	657.1	17.0	603.3	16.2	8.9
Total	3,855.2	100.0	3,729.4	100.0	3.4

Note* EMC revenue excludes OEM revenue from Dell and Fujitsu Siemens.
Note ** Hitachi/HDS revenue excludes OEM revenue from HP and Sun Microsystems.
Source: Gartner (December 2007)

Gartner external controller-based disk storage reports reflect hardware only revenue, as well as hardware revenue associated with financial leases and managed services. Optional storage software revenue and storage area network infrastructure components are excluded.

Additional information on the ECB disk storage market is available in the Gartner Dataquest report “Market Share: Disk Array Storage, All Regions, All Countries, 1Q05-3Q07." The report includes vendor market share by data access method, price band, channel and operating system segmentation. The report is available on Gartner’s Web site.

 

Contact:


Christy Pettey
Gartner
+1 408 468 8312
christy.pettey@gartner.com


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