Storage Software Market Gives Mixed Messages

By Chris Preimesberger  |  Posted 2010-09-08 Print this article Print

Year-over-year numbers show 3.3 percent growth in the storage software market, while quarter-to-quarter results indicate a 2.3 percent revenue decrease, IDC says.

Industry analyst IDC reported Sept. 7 that the worldwide storage software sector enjoyed a small revenue gain year-over-year in the second quarter of 2010 but also that market numbers dropped a bit from the first quarter.

In its quarterly Worldwide Quarterly Storage Software Tracker report, IDC said the storage software market banked revenues of nearly $3 billion, amounting to 3.3 percent growth over the same quarter a year ago.

However, the research also showed a 2.3 percent revenue decrease from the previous three months.

IDC said most of the annual revenue gain came from the companies that claimed the three biggest shares of the market-not from the smaller companies and startups.

"Gains in the storage software market in the second quarter were largely the result of overall growth from some of the large suppliers," said Laura DuBois, IDC's program vice president of storage software. "The growth for the quarter came from EMC (up 13.3 percent year over year), IBM (up 10.6 percent) and NetApp (up 6.0 percent)."

From a segment perspective, DuBois said, growth is emanating from spending in four segments of storage software: data protection and recovery (up 4.9 percent year over year), archiving (up 8.2 percent), storage management (up 5.8 percent), and storage infrastructure (up 12.7 percent).

The storage software revenue growth compared favorably with worldwide external disk storage systems factory revenues, which posted year-over-year growth of 20.4 percent and totaled $5 billion in the second quarter of 2010, DuBois said.

Chris Preimesberger Chris Preimesberger was named Editor-in-Chief of Features & Analysis at eWEEK in November 2011. Previously he served eWEEK as Senior Writer, covering a range of IT sectors that include data center systems, cloud computing, storage, virtualization, green IT, e-discovery and IT governance. His blog, Storage Station, is considered a go-to information source. Chris won a national Folio Award for magazine writing in November 2011 for a cover story on and CEO-founder Marc Benioff, and he has served as a judge for the SIIA Codie Awards since 2005. In previous IT journalism, Chris was a founding editor of both IT Manager's Journal and and was managing editor of Software Development magazine. His diverse resume also includes: sportswriter for the Los Angeles Daily News, covering NCAA and NBA basketball, television critic for the Palo Alto Times Tribune, and Sports Information Director at Stanford University. He has served as a correspondent for The Associated Press, covering Stanford and NCAA tournament basketball, since 1983. He has covered a number of major events, including the 1984 Democratic National Convention, a Presidential press conference at the White House in 1993, the Emmy Awards (three times), two Rose Bowls, the Fiesta Bowl, several NCAA men's and women's basketball tournaments, a Formula One Grand Prix auto race, a heavyweight boxing championship bout (Ali vs. Spinks, 1978), and the 1985 Super Bowl. A 1975 graduate of Pepperdine University in Malibu, Calif., Chris has won more than a dozen regional and national awards for his work. He and his wife, Rebecca, have four children and reside in Redwood City, Calif.Follow on Twitter: editingwhiz

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