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Strong Demand for Storage Software Drives Up Third Quarter Revenues

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EMC, Symantec, and IBM were the top ranking storage software suppliers with market shares of 24.5 percent, 15.3 percent, and 14.0 percent respectively. 

 

Storage software revenues reached nearly $3.5 billion in the third quarter of 2011 (3Q11), a 9.7 percent increase over the same quarter in 2010. This makes 3Q11 the second largest revenue-generating quarter in the nine years that International Data Corporation (IDC) has been tracking the market. Over the past nine years, only the first quarter of 2011 has generated more revenue than during 3Q11, according to IDC's Worldwide Storage Software QView. 

Six of the seven functional markets covered within the Worldwide Storage Software QView experienced year-over-year revenue growth. Four markets grew at double-digit rates during the quarter. Archiving software and storage and device management software experienced the strongest increase in demand with 12.2 percent and 11.3 percent year-over-year growth, respectively. Data protection and recovery software accounted for 34.9 percent of total revenue in 3Q11 and was once again the largest contributor to incremental revenue compared to 3Q10. 

EMC, Symantec, and IBM were the top ranking storage software suppliers with market shares of 24.5 percent, 15.3 percent, and 14.0 percent respectively. All suppliers covered within the QView experienced year-over-year growth in storage software revenues. HP experienced the largest year-over-year increase during the quarter – up 38.2 percent -- primarily due to the company's acquisition of 3PAR. 

"Demand for storage software products remains near all-time highs," said Eric Sheppard, research director with IDC's Storage Software program. "The market has broadly exited the recent phase of product refresh, yet sales continue to increase at impressive rates as users and suppliers come together to help improve the way organizations utilize, manage, and protect their valuable corporate data and storage resources."

 

Top 5 Vendors, Worldwide Storage Software Revenues and Vendor Shares, Third Quarter of 2011

(Revenues are in Millions)

Vendor

 

 

3Q11
Revenue

 

 

3Q11 Market
Share

 

 

3Q10
Revenue

 

 

3Q10 Market
Share

 

 

3Q11/3Q10
Revenue Growth

1. EMC

 

 

$847

 

 

24.5%

 

 

$768

 

 

24.4%

 

 

10.3%

2. Symantec

 

 

$530

 

 

15.3%

 

 

$518

 

 

16.5%

 

 

2.2%

3. IBM

 

 

$485

 

 

14.0%

 

 

$446

 

 

14.2%

 

 

8.8%

4. NetApp

 

 

$304

 

 

8.8%

 

 

$303

 

 

9.6%

 

 

0.3%

5. Hitachi

 

 

$140

 

 

4.1%

 

 

$118

 

 

3.8%

 

 

18.4%

Others

 

 

$1,150

 

 

33.2%

 

 

$997

 

 

31.6%

 

 

15.3%

All Vendors

 

 

$3,457

 

 

100.0%

 

 

$3,150

 

 

100.0%

 

 

9.7%
 

 

 

  

 

 

  

 

 

  

 

 

  

 

 

  

--Source: IDC Worldwide Quarterly Storage Software QView, December 2011. 

 

IDC's Worldwide Quarterly Storage Software QView is a quantitative tool for analyzing the global storage software market. This Tracker counts new license and maintenance revenues quarterly and provides data segmentations by vendor, submarket, functional product family, and region. 

International Data Corporation (IDC) is a premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. IDC helps IT professionals, business executives, and the investment community to make fact-based decisions on technology purchases and business strategy. More than 1,000 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries worldwide. For more than 47 years, IDC has provided strategic insights to help its clients achieve their key business objectives. IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. You can learn more about IDC by visiting www.idc.com.

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