IDC stats confirm Gartner predictions of storage market growth

Servers growing

Posted on Tuesday, December 5, 2017

New IDC stats for Q3 2017 show a healthy increase in enterprise storage revenue – up 14% year-on-year. This $11.8 billion bonanza seems to confirm Gartner’s predictions that the enterprise storage market will grow a total of 4.3% next year.

And in line with increased corporate data storage requirements, total volume was up 22.4%, reaching 72.5 exabytes. Despite dire predictions for the on-site data center, server-based storage also increased by 8.7%. External storage growth was more modest (4.1%), but worth a lot more too - $5.6 billion.

Some OEMs are doing better than others

The successful merger between Dell and EMC may be capturing all the headlines, but it is Hewlett Packard Enterprise (HPE) that has profited during Q3. During the last four months, HPE registered a 20.2 per cent internal storage market share, ahead of Dell who claimed 18.8 %.

Other OEMs did not fare so well however. NetApp may have clinched third spot, but that amounts to a mere 6 per cent share. IBM and Hitachi were even further behind with 4.3 and 4% respectively.

When it comes to external storage, the picture is considerably different. Dell EMC leads the pack with a 28.8% share, more than double NetApp’s 12.5 percentage. HPE is relegated to third place, just ahead of IBM and Hitachi.

Growth in all flash and hyper-converged systems

As may be expected, all flash storage and hyper-converged systems are driving growth in the storage sector. It remains to be seen whether enterprise storage demand will maintain its current rate of growth, or whether the increase has been brought on by other factors, such as vendor-enforced upgrades.

Whatever the explanation, on-site data centers continue to play an important part in corporate storage strategy. Clearly, server-based storage and external storage arrays will be with us for some time yet.

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