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Report Results Cause Stir

Compaq and EMC both claim latest storage report gives them top status

Storage vendors raced to put their spin on preliminary market share numbers expected to be released by IDC this week, with Compaq Computer Corp. (NYSE: CPQ) and EMC Corp. (NYSE: EMC) leading the pack.

As they've done with previous market research reports (see Who's on First?), both companies put out press releases claiming undisputed leadership” in the storage market, based on IDC's figures. (See EMC: "We're No. 1" and Compaq: "We're No. 1".)

This is not quite how IDC's report, titled "Worldwide Disk Storage Systems Market Forecast, 1995 – 2005," puts it.

According to IDC's results, EMC’s time at the top of the entire storage market (counting both internal and external disk storage) was fleeting. The company rose to the number one position in 2000 to surpass Compaq as the top disk systems vendor.

In 2001, the story changed. EMC continues to suffer from pricing pressures brought on by the difficult economy and competitors such as IBM Corp. (NYSE: IBM) and Hitachi Data Systems (HDS), according to IDC.

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