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Storage Market Posts Growth In 4Q

Much of the increase was driven by open networked storage.

The worldwide market for disk storage systems improved slightly in the fourth quarter of 2009, posting its first year-over-year growth in four quarters, a research firm said.

Market revenue grew 0.2% to $7.27 billion from $7.26 billion a year ago, IDC said Friday. Revenue from external disk storage systems, which make up the majority of the market, dipped 0.7% to $5.3 billion.

Total of disk storage systems capacity shipped reach 3,304 petabytes, an increase of 33.4% year over year.

"Although 2009 might have gotten off to a rough start, it ended on a strong note," IDC analyst Liz Conner said in a statement. "Total factory revenue for the fourth quarter posted the first year-over-year growth since the third quarter of 2008."

The fourth quarter accounted for 29.7% of 2009 revenues, compared to 26.2% for the same period in 2008, IDC said. Much of the increase was driven by open networked storage, which posted its first year-to-year growth, 3.6%, since the last quarter of 2008.

Looking at the vendors, EMC maintained its lead in the market for external disk storage systems, accounting for 23.7% of revenue in the quarter. IBM was second with a 16.8% share, followed by Hewlett-Packard, 12.1%, and NetApp and Dell, which were statistically tie with 8.3% and 8.1%, respectively.

The total open networked disk storage market, comprising network-attached storage combined with Open/iSCSI storage-area network, grew 3.6% year over year in the quarter to $4.2 billion in revenue. EMC continues to lead the market with a 27.9% share, followed by IBM, 16%.

The Open SAN market grew 0.9% year over year, with EMC leading with a 20.4% share, followed by IBM, 19.3%. The NAS market grew 12.6%. Number one EMC had a 50.5% share, followed by NetApp, 20.2%.

The iSCSI SAN market continued to show strong momentum, posting 40.6% revenue growth from a year ago, IDC said. Dell led the market with a 29.2% share, followed by HP, 18.5%.

NAS use has grown to represent 20% of external disk storage revenue. Driving the increase are corporations looking to manage the rising amount of unstructured, file-based data, IDC analyst Steve Scully said.

"The growing number of unified storage solutions has made it easier for customers to implement one platform for multiple file-based and block-based storage workloads," Scully said.

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