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​Storage market holds steady as flash spending grows

​Storage market holds steady as flash spending grows

Enterprise storage system market recovers following slow start to 2016.

Total worldwide enterprise storage systems factory revenue remained flat year over year, posting 0.0 per cent growth and $US8.8 billion during the second quarter of 2016 (2Q16).

According to IDC findings, total capacity shipments were up 12.9 per cent year over year to 34.7 exabytes during the quarter.

Meanwhile, revenue growth declined within the group of original design manufacturers (ODMs) that sell directly to hyper-scale data centres, with this portion of the market down 21.5 per cent year over year to $US794.7 million.

In addition, sales of server-based storage were up 9.8 per cent during the quarter and accounted for almost $US2.4 billion in revenue while external storage systems remained the largest market segment, but the $US5.7 billion in sales represented flat 0.0 per cent year-over-year growth.

“After a slow start to the year, the enterprise storage system market remained steady during the second quarter,” IDC research manager of Storage Systems, Liz Conner, said.

“Spending on all flash deployments continues to grow and help drive the market. The decreasing cost of flash media, coupled with increasing use cases, high density deployments, and availability of flash-based storage products, have resulted in rapid adoption throughout the market.”

From a vendor perspective - and prior to the creation of Dell Technologies - EMC and HPE remained in a statistical tie for the top position within the total worldwide enterprise storage systems market, accounting for 18.1 per cent and 17.6 per cent of spending respectively.

Further down the list, Dell held the next position with a 11.5 per cent share of revenue during the quarter, with IBM and NetApp accounting for 6.8 per cent and 6.7 per cent of global spending respectively.

As a single group, storage systems sales by original design manufacturers (ODMs) selling directly to hyper-scale data centre customers accounted for 9.0 per cent of global spending during the quarter.

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