Posted by: Beth Pariseau
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Recent market research shows the storage industry began a rebound in the third quarter after two quarters of steep declines.
The first indications of this came from publicly traded storage vendors’ earnings reports for the quarter, most of which showed storage revenues still below last year’s levels while increasing over the first and second quarters of 2009.
According to IDC’s Quarterly Disk Tracker :
Worldwide external disk storage systems factory revenues posted a 10.0% decline year over year, totaling $4.4 billion in the third quarter of 2009 (3Q09), according to the IDC Worldwide Quarterly Disk Storage Systems Tracker. For the quarter, the total disk storage systems market declined to $6.0 billion in revenues, a 9.6% decline from the prior year’s third quarter
Steve Scully, research manager for Enterprise Storage at IDC, says these numbers represent an increase over last quarter when external revenue was $4.121 billion and overall storage revenue totalled $5.665 billion.
IDC’s storage software report shows revenue of $2.87 million in the third quarter, a 7.9% decline from last year but a 1.2% increase from the second quarter.
Gartner’s latest results showed a similar pattern. According to Gartner, the $3.9 billion in storage disk revenue last quarter represented a 7.3% decline from last year following double-digit declines in the first two quarters of 2009.
This pattern — a sharp decline in the first quarter, stabilization in the second and third quarter and a slight
increase for the fourth quarter — was predicted early in the year by some storage vendors and analysts. If this curve continues to play out, storage sales should see further recovery heading into 2010, though many industry watchers say the explosive growth period in systems between 2004 and 2007 will not be matched in the near future.