Chandler adds that HP's expanded storage services push is in line with the company's post-merger strategy of exploiting the areas where each player excelled. "Compaq had a large storage consulting business, and HP thought they had a great opportunity for growth," he says.
IDC puts HP third in terms of share in this market, behind IBM Corp. (NYSE: IBM) and Electronic Data Systems Corp. (EDS), but ahead of EMC Corp. (NYSE: EMC) and Storage Technology Corp. (StorageTek) (NYSE: STK).
HP's large year-over-year jump in revenues is the result of its merger with Compaq; the HP revenue figure below for 2001 doesn't include Compaq.
Table 1: Top U.S. Storage Services Firms by Revenues (in Millions)
| Company | FY02 | FY01 | % Growth Y/Y |
| IBM | $4,675 | $4,450 | 5% |
| EDS | $2,480 | $2,500 | -1% |
| HP | $1,925* | $1,210 | 59% |
| CSC | $1,225 | $1,095 | 12% |
| EMC | $1,078 | $972 | 11% |
| StorageTek | $763 | $686 | 11% |
| Veritas | $499 | $382 | 31% |
| Sun | $225 | $210 | 7% |
| HDS | $145 | $125 | 16% |
| Legato | $129 | $95 | 36% |
| * Includes Compaq revenues Source: IDC |
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Gary Wright, VP of HP network storage services, says the company has 5,000 people around the world trained in deploying and designing storage networks. "We've done more than 2,000 SAN implementations worldwide," he says. "We believe we've done more by far than anyone else."
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