"Worldwide external disk storage systems factory revenues posted 9.8 percent year-over-year growth in the fourth quarter of 2007 (4Q07) and totaling $5.3 billion (USD), according to the IDC Worldwide Disk Storage Systems Quarterly Tracker. For the quarter, the total disk storage systems market grew to $7.5 billion (USD), up 7.6 percent from the prior year's fourth quarter. Total disk storage systems capacity shipped reach 1,645 petabytes, growing 56.3 percent."
For those wondering how an industry could grow 56.3 percent in capacity, but only 7.6 percent in revenue, it isbecause the average dollar-per-GB dropped in 2007 from $6.63 down to $4.56 (USD), representing a 31 percent decline.In the past, disk prices dropped 40 to 60 percent each year, so making single digit growth was the best major vendorscould hope for. However, lately this has slowed down to 25 to 35 percent decline, but the client demand for capacity continues at the 60 percent pace, which means that vendors could achieve double digit revenue growth soon.
Once again, IBM was ranked number 1 in total disk storage. No surprise there. Here are the details:
"Total Disk Storage Systems Market
In the total worldwide disk storage systems market, IBM lead the market with 22.9 percent followed by HP with 18.1 percent revenue share. EMC maintained the third position with 16.0 percent revenue share.
For the full year, the total disk storage systems market posted 6.6 percent growth to $26.3 billion (USD). In the total worldwide disk storage systems market, IBM and HP lead the market in statistical tie with 20.1 percent and 19.4 percent revenue share, respectively. EMC maintained the third position with 15.2 revenue revenue share."
But why focus just on disk? IDC also released their"Worldwide Combined Disk and Tape Storage 3Q07 Market Share Update", and IBM was number one for that as well,taking in 21.9 percent share. Here's a quote of IBM VP Barry Rudolph in[CNN Money]:
"IBM's continued leadership in the storage hardware market reaffirms our strategy to provide the most comprehensive tiered portfolio of storage offerings, ranging from software and services to disk and tape storage solutions," said Barry Rudolph, Vice President, Storage Stack Solutions, IBM. "IBM is the clear choice for providing information infrastructure solutions that offer the most cost-efficient, streamlined approach to help our customers increase overall productivity and maximize performance."
It is looking like 2008 is going to be a good year for IBM!