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Emulex and JNI Nab Top HBA Spots

Confirming that 2000 was a banner year for storage networking,
Emulex Corp. (Nasdaq: EMLX)
and JNI Corp. (Nasdaq: JNIC) in separate announcements today
claimed the number one and two spots, respectively, in the worldwide Fibre Channel host bus adapter (HBA) market. Both claims are based on a new report released by IDC, "2001 Worldwide Fibre Channel Host Bus Adapter Forecast and Analysis, 1998-2004" and relate to sales during calendar year 2000 (see IDC: JNI No. 2 in FC HBAs and IDC: Emulex No. 1).

"We grew faster than the overall market in 2000," said Chris Wildermuth, director of communications at JNI. "Last year we were the number two independent company, but number five overall." Wildermuth also indicated that 2000 was a good year for most companies in this market, while most are giving guidance of flat or slightly declining revenue for 2001.

Emulex and IDC officials could not be reached for comment before our deadline.

IDC's projections, notwithstanding the generally flat guidance being issued by many storage networking companies, estimate the HBA market will grow from $535 million in 2000 to $2.2 billion in 2004. That is a significant leap, considering the general economic conditions this year. That kind of growth is what keeps venture capital firms pumping money into startups in this segment. (See 3PARdata Snags $100M for the latest evidence.)

- Ralph Barker, Editor in Chief, Byte and Switch