NetApp sneaks past IBM as storage market heats up

Dell and HPE ahead, as NetApp, IBM, Huawei, Lenovo and Hitachi follow suit
(Source: Stockfresh)

12 March 2019

NetApp has edged ahead of IBM in the enterprise storage systems market, moving into third place behind leaders Dell and Hewlett Packard Enterprise.

The vendor – which generated a 5.8% share of total revenue during the fourth quarter of 2018 – made slight advances on IBM, which captured 4.8% market share during the same period.

While statistically tied according to IDC findings, due to a difference of less than 1%, the figures are encouraging for NetApp in light of a revenue increase of more than $100 million compared to the same period in 2017, at a growth rate of 14.6%.




Meanwhile, Big Blue dropped around $50 million in global revenue during the quarter, at a swing of -6.5%.

Unsurprisingly, Dell remained the largest supplier for the quarter, accounting for 20.6% of total worldwide enterprise storage systems revenue and growing 14.8% year-on-year.

HPE ranked second with 18% share of revenue on year-on-year growth of 0.6%, while the number five position was shared between Huawei, Lenovo and Hitachi, with shares of 4%, 3.5% and 3.3% respectively.

More broadly speaking, and according to IDC research, vendor revenue in the worldwide enterprise storage systems market increased 7.4% year-on-year to $14.5 billion during the quarter.

Specifically, total capacity shipments were up 1.7% year-on-year to 92.5 exabytes during the quarter.

Meanwhile, revenue generated by the group of original design manufacturers (ODMs) selling directly to hyper-scale data centres declined 1.5% year-on-year to $2.7 billion – this represents 18.8% of total enterprise storage investments during the quarter.

“The fourth quarter results represent a slight shift from trends realised during the first three quarters of 2018, most notably the revenue decline for the ODM group of vendors as cloud providers slow their investment due to significant existing capacity,” said Sebastian Lagana, research manager at IDC.

“That considered, OEM vendors selling dedicated storage arrays are
addressing demand from businesses investing in both on-premises and
public cloud infrastructure.

“Ensuring storage systems support both a hybrid cloud model as well as increasingly data thirsty on-premises compute platforms is a high priority for enterprise customers.”

Lagana said sales of server-based storage increased 4.7% year-on-year to just under $4.1 billion in revenue, accounting for 28.1% of total enterprise storage investments.

Furthermore, the external storage systems market was worth roughly $7.7 billion during the quarter, up 12.5% during the same period in 2017.

IDG News Service

Read More:

Comments are closed.

Back to Top ↑