WW External Disk Systems Revenue Down in 2Q14, as in 1Q14 – IDC

Worldwide external disk storage systems factory revenues fell -1.4% year over year to nearly $5.9 billion during 2Q14, according to the International Data Corporation‘s Worldwide Quarterly Disk Storage Systems Tracker.

For the quarter, the total (internal plus external) disk storage systems market generated almost $7.8 billion in revenue.

The modest 0.3% year-over-year increase was driven by strong internal storage sales within AsiaPac and emerging markets.

Total disk storage systems capacity shipped was 11.5 exabytes. Growth of new capacity consumption improved during the quarter, but the 23.9% year-over-year growth was still relatively low by historic comparisons.

“High-end storage sales fell for the fourth consecutive quarter in 2Q14,” said Eric Sheppard, research director, IDC Storage. “The high-end decline was not as striking as last quarter but it was coupled with a drop in midrange sales, suggesting weak demand is spreading to other parts of the market. Bright spots within the global storage market include growth from entry level storage and increased sales within EMEA and Latin America.”

2Q14 External Disk Storage Systems Results
EMC was the largest supplier, but experienced a year-over-year share loss during the quarter. The company captured 30.1% of the external disk storage revenue during the quarter, which was down from 31.2% the year prior. NetApp and IBM sales resulted in a statistical tie for second position with shares of 13.0% and 12.1%, respectively. This was down from 13.2% and 12.5% respectively from the same quarter last year. HP gained share during the quarter, moving from 10.0% last year to 10.1% this year. Dell and Hitachi finished the quarter in a statistical tie for the fifth position with shares of 7.2% and 6.4% respectively.

Open Networked Disk Storage Systems Highlights
The total open networked disk storage market (NAS combined with non-mainframe SAN) fell -1.2% year over year to $5.1 billion in revenue. EMC maintained its leadership in the total open networked storage market with 32.9% revenue share, but lost share compared to the 34.1% the company generated in 2Q13. NetApp was the second largest supplier with 14.9% share, followed by IBM (11.2%) and HP (10.2%).

 Top 6 Vendors, WW External Disk Storage Systems Market, 2Q14
 (revenue in $ million)

 (Source: IDC Worldwide Quarterly Disk Storage Systems Tracker, September 4, 2014)

2Q14 Total Disk Storage Systems Market Results
In the total worldwide disk storage systems market, EMC finished in the top position followed by HP with market shares of 22.7% and 17.5% respectively.

 Top 5 Vendors, WW Total Disk Storage Systems Market, 2Q14
 (revenue in $ million)

 (Source: IDC Worldwide Quarterly Disk Storage Systems Tracker, September 4, 2014)

 Top 5 Vendors, WW Total Disk Storage Systems Market, 2Q13-2Q14
 (shared based on revenue)

 (Source: IDC Worldwide Quarterly Disk Storage Systems Tracker, September 4, 2014)

Taxonomy Notes:

• IDC defines a Disk Storage System as a set of storage elements, including controllers, cables, and (in some instances) host bus adapters, associated with three or more disks. A system may be located outside of or within a server cabinet and the average cost of the disk storage systems does not include infrastructure storage hardware (i.e. switches) and non-bundled storage software.
• The information in this quantitative study is based on a branded view of the disk storage systems sale. Revenue associated with the products to the end user is attributed to the seller (brand) of the product, not the manufacturer. OEM sales are not included in this study. In this study, HDS sales do not reflect their OEM sales to Sun Microsystems and HP.
• * IDC declares a statistical tie in the worldwide disk storage systems market when there is less than one percent difference in the revenue share of two or more vendors.
• IDC’s Worldwide Disk Storage Systems Quarterly Tracker is a quantitative tool for analyzing the global disk storage market on a quarterly basis. The Tracker includes quarterly shipments and revenues (both customer and factory), terabytes, $/GB GB/unit, and average selling value. Each criteria can be segmented by location, installation base, operating system, vendor, family, model, and region.