NetApp Only Top 5 Company Growing Sequentially in 1Q11

Worldwide external disk storage systems factory revenues posted year-over-year growth of 13.2%, totaling just under $5.6 billion in the first quarter of 2011 (1Q11), according to the International Data Corporation Worldwide Quarterly Disk Storage Systems Tracker.

For the quarter, the total disk storage systems market grew to just shy of $7.5 billion in revenues, representing 12.1% growth from the prior year’s first quarter. Total disk storage systems capacity shipped reach 4,956 petabytes, growing 46.3% year over year.

"The worldwide disk storage market is off to a strong start in 2011," said Amita Potnis, senior research analyst, Storage Systems at IDC. "Although the market declined sequentially in the first quarter, due to a seasonal budget flush in Q4, year-over-year growth can be seen as end-users are taking advantage of easing budget constraints while adopting new capabilities available in the market."

Total External Disk Storage Systems
EMC maintained its lead in the external disk storage systems market with 27.3% revenue share in the first quarter, followed by NetApp in second and IBM in third with 13.5% and 12.2% market share respectively. HP ended the quarter in fourth position, with 10.5%, and Hitachi was fifth with 9.0%.

Open Networked Disk Storage Systems
The total open networked disk storage market (NAS Combined with Open / iSCSI SAN) grew 17.3% year over year in the first quarter to $4.7 billion in revenues. EMC continues to maintain its leadership in the total open networked storage market with 30.8% revenue share, followed by NetApp with a 16.1% revenue share.

In the open SAN market, which grew 13.4% year over year, EMC was the leading vendor with 22.7% revenue share, followed by IBM in second and HP in third with 14.8% and 13.4% share, respectively.

The NAS market grew 27.1% year over year, led by EMC with 48.8% revenue share and followed by NetApp with 30.8% share. The iSCSI SAN market continues to show strong growth, posting 23.0% revenue growth compared to the prior year’s quarter. Dell led the market with 32.9% revenue share, followed by HP and EMC tied* for second with 14.4% and 14.2% market share respectively.

"Strong growth in key midrange (price bands 6 & 7, $50K-149.99K) and high-end (price bands 9 & 10, $250K+) segments helped drive overall year-over-year gains in the first quarter," said Liz Conner, senior research analyst, Storage Systems. "Products offering scale-out architecture, file storage, and capacity optimizing features, such as data deduplication, helped drive the midrange market, while the high-end saw a renewed interest in Fibre Channel."

                                    
Top 5 Vendors
WW External Disk Storage Systems Factory Revenue, 1Q11
                             
(Revenues are in Millions)

 
(Source: IDC Worldwide Disk Storage Systems Quarterly
  Tracker, June 3, 2011)

Total Disk Storage Systems Market
In the total worldwide disk storage systems market, EMC finished in the top position followed by HP with market shares of 20.3% and 18.4% respectively.

                                     Top 5 Vendors
  WW Total Disk Storage Systems Factory Revenue, 1Q11
                                   
(Revenues are in Millions)

(Source: IDC Worldwide Disk Storage Systems Quarterly Tracker, June 3, 2011)

Notes:

• Starting in Q2 2010, HP is reported as the combined entity of HP and H3C.
• Starting in Q4 2010, HP is reported as the combined entity of HP and 3PAR.
• Starting in Q1 2011, EMC is reported as the combined entity of EMC and Isilon.
• Starting in Q1 2011, Dell is reported as the combined entity of Dell and Compellent.
• IDC declares a statistical tie in the worldwide disk storage market when there is less than one percent difference in the factory revenues of two or more vendors.

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. Original equipment manufacturer (OEM) sales are not included in this study. In this study, Hitachi Data Systems (HDS) sales do not reflect their OEM sales to Sun Microsystems and Hewlett-Packard.

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, $/Gigabyte, Gigabyte/Unit, and Average Selling Value. Each criteria can be segmented by location, installation base, operating system, vendor, family, model, and region.