11% Growth in 3Q11 for WW External Disk Systems

Worldwide external disk storage systems factory revenues posted year-over-year growth of 10.8%, totaling just under $5.8 billion in 3Q11, according to the International Data Corporation Worldwide Quarterly Disk Storage Systems Tracker.

For the quarter, the total disk storage systems market grew to $7.6
billion in revenues, representing 8.5% growth from the prior year’s
third quarter. Total disk storage systems capacity shipped reach 5,429 petabytes, growing 30.7% year over year.

"The third quarter of 2011 was a strong quarter for enterprise
storage, posting solid growth in factory revenue and signaling a return
to ‘business as normal’," said Liz Conner, senior research analyst, Storage Systems. "The
trend of increased spending during the economic recovery period,
specifically on high-end systems, has started to draw to a close. As IDC
predicted, year-over-year growth has started to slow and is now
approaching pre-economic crisis levels."

Total External Disk Storage Systems
EMC maintained its lead in the external disk storage systems market with
28.6% revenue share in the third quarter, followed by IBM and NetApp
tied for second with 12.7% and 12.1% market share respectively. HP ended
the quarter in fourth position, with 11.3%. Hitachi and Dell finished
in a tie for fifth with 8.8% and 8.0% market share respectively.

Open Networked Disk Storage Systems
The total open networked disk storage market (NAS combined with
open/iSCSI SAN) grew 12.3% year over year in the third quarter to just
shy of $4.9 billion in revenues. EMC continues to maintain its
leadership in the total open networked storage market with 31.3% revenue
share, followed by NetApp with a 14.4% revenue share.

In the open SAN market, which grew 16.1% year over year, EMC was the
leading vendor with 25.3% revenue share, followed by IBM in second and
HP in third with 15.4% and 14.0% share, respectively.

The NAS market grew 3.5% year over year, led by EMC with 46.7% revenue
share and followed by NetApp with 30.9% share. The iSCSI SAN market
continues to show strong growth, posting 19.5% revenue growth compared
to the prior year’s quarter. Dell led the market with 30.3% revenue
share, followed by EMC in second with 19.2% and HP in third with 14.0%
market share.

"Strong growth in the midrange segment ($50K-149.99K) helped the overall growth in the third quarter of 2011," said Amita Potnis, senior research analyst, Storage Systems. "The
trend to buy modular systems offering enterprise level functionality,
such as scale-out architectures, tiering, data deduplication, etc.
continues."

 3Q11 WW External Disk Storage Systems Factory Revenue
                             (revenues in $millions)

(Source: IDC Worldwide Disk Storage Systems Quarterly Tracker,
December 2, 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 21.7% and 18.9%
respectively.

     
3Q11 WW Total Disk Storage Systems Factory Revenue
                         
(revenues in $millions)

(Source: IDC Worldwide Disk Storage Systems Quarterly Tracker,
December 2, 2011)

Notes:

• 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.

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.