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Falling Prices, Regulations Drive SAN Market: Page 2 of 2

As for SAN market share, the iSuppli survey placed EMC in the leading position, holding 26 percent; Hewlett-Packard has 25 percent and IBM 18 percent. Others with single-digit market share are Hitachi with 8 percent, LSI Storage with 7 percent, Sun Microsystems with 7 percent, and Dell with 6 percent.

The iSuppli report said that SAN Fibre Channel-port market has been growing at a 30 percent annual rate over the past three years. The market-research firm expects that growth rate to continue for five years, with 13.6 million units expected to be shipped in 2008. A total of 3.5 million units were shipped in 2003. While the unit shipments are expected to remain at the 30 percent growth rate, price erosion should restrain revenue growth to about 15 percent per year.