Boston, MA, 03/31/2014 (usastockreports)- Global storage systems, including external storage has seen a slight slump in the sales. International Data Corporation, IDC in its report said that for Q3 2013 revenue for total disk storage systems market was $7.4 Billion which was 5.6% less compared to previous year same quarter revenue, whereas external storage revenue saw a decline of 3.5% in the same quarter. Eric Sheppard, Research Director, IDC Storage said- “Despite the revenue contraction in the third quarter, we see strong demand for offerings targeted at heavily virtualized environments, such as integrated infrastructure.” Also according to Gartner’s reportexternal controller-based (ECB) disk storage witnessed a strong Q4 2013 after an abysmal Q3 2013; the revenue for the segment in Q4 saw an increase of 5% to reach $6.3 Billion.
EMC’s betting high on emerging storages
Emerging storage devices is a company-defined category of storage devices; this sub-segment includes XtremIO, Isilon, Atmos and VPLEX. This segment witnessed revenue of $1.5 Billion in year 2013. EMC XtremIO was the major sales driver for the year. The company said that XtremIO is its first all flash storage device and it has become the bestselling storage array in the market. According to IDC report solid state based storage arrays market will grow to $1.2 Billion by 2015. EMC looks forward to dominate the segment in coming years. EMC Corporation (NYSE:EMC) owns a majority stake in VMware, Inc. (NYSE:VMW), virtualization and cloud computing giant which further strengthens its position in the storage device market as the market is moving from pure hardware based to software coupled cloud storage devices.
EMC Corporation (NYSE:EMC)’s major competitors in the storage systems industry are: NetApp Inc. (NASDAQ:NTAP), International Business Machines Corp. (NYSE:IBM), Hewlett-Packard Company (NYSE:HPQ) and Hitachi, Ltd. (ADR)(OTCMKTS:HTHIY). EMC has a market share of over 30% and NetApp which has second largest market share has a share of around 13%. Though the storage hardware market is transforming from pure hardware based solutions to software coupled devices EMC Corporation (NYSE:EMC) stands strong with its market leader position and is expected to dominate the industry.