Demand for Server-Based Storage and Hyperscale Infrastructure Drives a 6.8% Increase in Enterprise Storage Spending in the First Quarter of 2015, According to IDC

FRAMINGHAM, Mass.--(BUSINESS WIRE)--Total worldwide enterprise storage systems factory revenue grew 6.8% year over year to nearly $8.8 billion during the first quarter of 2015 (1Q15), according to the International Data Corporation (IDC) Worldwide Quarterly Disk Storage Systems Tracker. Total capacity shipments were up 41.1% year over year to 28.3 exabytes during the quarter.

"Following a busy end-of-year spending environment, the enterprise storage market fell back into what has become a familiar market pattern," said Eric Sheppard, Research Director, Storage at IDC. "Spending on traditional external arrays fell during the quarter while demand for server-based storage and hyperscale infrastructure was up strongly during the quarter."

1Q15 Total Disk Storage Systems Market Results

EMC finished in the top position within the total worldwide enterprise storage systems market, accounting for 17.4% of all spending in 1Q15. HP held the number 2 position with a 14.6% share of spending during the quarter. Dell accounted for 10.2% of global spending. As a collective group, storage systems sales by original design manufacturers (ODM's) selling directly to hyperscale datacenter customers accounted for 12.6% of global spending during the quarter.

Top 5 Vendors, Worldwide Total Disk Storage Systems Market, First Quarter of 2015 (Revenues are in Millions)
Vendor	1Q15 Revenue	1Q15 Market Share	1Q14 Revenue	1Q14 Market Share	1Q15/1Q14 Revenue Growth
1. EMC	$1,531	17.4%	$1,640	20.0%	-6.7%
2. HP	$1,280	14.6%	$1,072	13.1%	19.3%
3. Dell	$897	10.2%	$846	10.3%	6.0%
4. NetApp	$765	8.7%	$854	10.4%	-10.5%
5. IBM	$525	6.0%	$743	9.0%	-29.3%
ODM Direct	$1,104	12.6%	$899	10.9%	22.9%
Others	$2,672	30.5%	$2,159	26.3%	23.8%
All Vendors	$8,773	100.0%	$8,213	100.0%	6.8%

Source: IDC Worldwide Quarterly Disk Storage Systems Tracker, June 5, 2015

*Note: IBM's 1Q15 revenue excludes x86 servers due to the sale of that business to Lenovo.

In addition to the table above, an interactive graphic showing the worldwide market share of the top 5 total disk storage systems vendors over the previous five quarters is available here. Instructions on how to embed this graphic into online news articles and social media can be found by viewing this press release on IDC.com.

Open Networked Disk Storage Systems Highlights

The total open networked disk storage market (NAS Combined with non-mainframe SAN) generated $6.3 billion in revenue during the quarter. EMC maintained its leadership in the total open networked storage market with 29.8% revenue share. NetApp generated 15.6% of revenue within this market segment.

1Q15 External Disk Storage Systems Results

EMC was the largest external storage systems supplier during the quarter, accounting for 27.3% of sales. NetApp generated 13.6% of total sales during the quarter. HP and Hitachi ended the quarter in a statistical tie* for the third position with 9.1% and 9.0% share of worldwide revenue, respectively.

Top 5 Vendors, Worldwide External Disk Storage Systems Market, First Quarter of 2015 (Revenues are in Millions)
Vendor	1Q15 Revenue	1Q15 Market Share	1Q14 Revenue	1Q14 Market Share	1Q15/1Q14 Revenue Growth
1. EMC	$1,531	27.3%	$1,640	29.1%	-6.7%
2. NetApp	$765	13.6%	$854	15.1%	-10.5%
3. HP*	$512	9.1%	$499	8.8%	2.6%
3. Hitachi*	$507	9.0%	$493	8.7%	2.8%
5. IBM	$434	7.7%	$497	8.8%	-12.8%
Others	$1,859	33.1%	$1,658	29.4%	12.1%
All Vendors	$5,607	100.0%	$5,643	100.0%	-0.6%

Source: IDC Worldwide Quarterly Disk Storage Systems Tracker, June 4, 2015

* Note: IDC declares a statistical tie in the worldwide disk storage systems market when there is less than one percent difference in the revenue share of two or more vendors.

Taxonomy Notes:
IDC defines a Disk Storage System as a set of storage elements, including controllers, cables, and (in some instances) host bus adapters, associated with three or more disks. A system may be located outside of or within a server cabinet and the average cost of the disk storage systems does not include infrastructure storage hardware (i.e. switches) and non-bundled storage software.

The information in this quantitative study is based on a branded view of the disk storage systems sale. Revenue associated with the products to the end user is attributed to the seller (brand) of the product, not the manufacturer. Original equipment manufacturer (OEM) sales are not included in this study. In this study, Hitachi Data Systems (HDS) sales do not reflect their OEM sales to Sun Microsystems and Hewlett-Packard.

IDC's Worldwide Quarterly Disk Storage Systems Tracker is a quantitative tool for analyzing the global disk storage market on a quarterly basis. The Tracker includes quarterly shipments and revenues (both customer and factory), Terabytes, $/Gigabyte, Gigabyte/Unit, and Average Selling Value. Each criteria can be segmented by location, installation base, operating system, vendor, family, model, and region.

For more information about IDC's Worldwide Disk Storage Systems Quarterly Tracker, please contact Lidice Fernandez at 305-351-3051 or [e-mail].

About IDC Trackers
IDC Tracker products provide accurate and timely market size, vendor share, and forecasts for hundreds of technology markets from more than 100 countries around the globe. Using proprietary tools and research processes, IDC's Trackers are updated on a semiannual, quarterly, and monthly basis. Tracker results are delivered to clients in user-friendly excel deliverables and on-line query tools. The IDC Tracker Charts app allows users to view data charts from the most recent IDC Tracker products on their iPhone and iPad. The IDC Tracker Chart app is also available for Android Phones and Android Tablets.

About IDC
International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. With more than 1,100 analysts worldwide, IDC offers global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. IDC's analysis and insight helps IT professionals, business executives, and the investment community to make fact-based technology decisions and to achieve their key business objectives. Founded in 1964, IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. To learn more about IDC, please visit www.idc.com. Follow IDC on Twitter at @IDC.

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