News Stay informed about the latest enterprise technology news and product updates.

IDC: Total worldwide storage systems revenue remained flat in Q2

Research firm IDC reports factory revenues for worldwide purpose-built backup appliances (PBBA) experienced solid growth in the second quarter while enterprise storage systems revenue remained flat during that same period.

Factory revenues for worldwide purpose-built backup appliances (PBBA) grew 11.5% year over year in second quarter to $871 million, according to IDC’s Worldwide Quarterly Purpose-Built Backup Appliance (PBBA) Tracker. Most of that growth came from open systems, which increased 12% to $788 million. The rest of the revenue came from backup systems for mainframes.

“After three consecutive quarters of year-over-year decline, mainframe systems revenue was up by 6.2 percent from a year ago,” according to the PBBA tracker report. “Total worldwide PBBA capacity shipped for Q2 2016 reached one exabyte, an increase of 35.3 percent from Q2 2015.”

EMC held on to its lead in the overall PBBA market, with $538 million and 62% revenue share. Veritas came in second at 13% with $116 million in revenues. IBM ranked third with $49 million (six percent) and HPE fourth with $32 million (four percent). Dell came in fifth with 3 percent market share and $25 million in revenues.

The overall picture was different for worldwide enterprise storage systems factory revenue as it posted zero year-over-year growth in the second quarter with about $9 billion in revenues, according to IDC’s worldwide Quarterly Enterprise Storage Systems Tracker. External storage systems still is the largest market but the $6 billion in sales represented flat year-over-year growth

However, total capacity shipments were up by about 13% year over year to 35 exabytes.  Sales of server-based storage also were up at 10% during the quarter and accounted for almost $2.4 billion in revenue.

EMC and HPE came in at a statistical tie for the total worldwide enterprise storage systems market, accounting for 18% and 17.6% market share, respectively. (IDC considers anything less than a percentage point apart a statistical tie). EMC’s revenue dropped 5.5 percent to $1.599 million, while HPE’s business grew almost 9 percent and generated $ 1.556 million in revenue.

Dell came in third with 11% market share and increased its business by 14% year over year, generating 1 million in revenue, while IBM had 7 percent market share and lost 16 percent in year-over-year revenue, generating $600 million in overall storage revenue. NetApp came in fourth, showing a 3.2 percent decline in year-over-year in overall storage revenue growth with $595 million in revenues.

“As a single group, storage system sales by original design manufacturers, selling directly to hyperscale data center customers accounted for $9 percent of global spending during the quarter,” the report stated.

EMC was the largest external enterprise storage system supplier, accounting for 28% of worldwide revenues. All of EMC’s revenue came from external (networked) storage.

HPE and NetApp were tied for tmarket share. HPE had 10.6% share and $602 million in sales. NetApp captured 10. 5% of the worldwide market share and generated $6 million in sale.

IBM’S revenue declined about nine percent since last year and it stood fourth with $538 million, followed by Hitachi at $419 million and Dell at $395 million. Hitachi revenue grew 15% and Dell increased 10% year over year.

Start the conversation

Send me notifications when other members comment.

By submitting you agree to receive email from TechTarget and its partners. If you reside outside of the United States, you consent to having your personal data transferred to and processed in the United States. Privacy

Please create a username to comment.

-ADS BY GOOGLE

SearchSolidStateStorage

SearchCloudStorage

SearchDisasterRecovery

SearchDataBackup

Close