DSS (Global)

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Main Article: DSS (Russian Market)

2023: Global DSS Market Volume Up 8% Year-on-Year to Reach $54.22 Billion - Market Research Future

In 2023, global sales storage systems () DSS reached $54.22 billion. This is about 8% more compared to 2022, when costs were estimated at $50.34 billion. The industry is showing steady growth driven by a surge in data generation across sectors. Market analysis is provided in the Market Research Future review published in early November 2024.

One of the main drivers of the sector in question is the continued spread of cloud computing. With the growing popularity of such services, companies around the world are moving their workloads (and with them information) to the cloud, resulting in increased storage needs. This approach not only improves operational efficiency, but also allows organizations to reduce capital costs associated with traditional local storage.

Demand for DSS is also increasing amid the rapid development and introduction of artificial intelligence, including generative intelligence. In addition, the expansion of the industry is facilitated by the rapid expansion of the Internet of Things (IoT) ecosystem: such devices create huge amounts of information that require large-capacity platforms to store. Moreover, customers need not only to store data, but also to quickly and efficiently access and analyze it. This trend is pushing manufacturers to continually innovate and update intelligent solutions to meet changing enterprise demands. Customers are also paying greater attention to security issues, which is why DSS with advanced encryption and security mechanisms are becoming in demand.

By storage type, analysts divide the market into four segments: traditional hard drive (HDD) based systems, solid state drive (SSD) platforms, hybrid solutions ( HDD + SSD), and networked storage (NAS). In 2023, HDD systems generated the largest revenue - approximately $22.5 billion: this sector dominates due to the widespread use of disks in data centers and personal computers, where priority is given to large capacities at lower costs. SSD platforms accounted for about $18 billion: such solutions are in demand in areas where quick access to information is required. Hybrid complexes brought in $7.5 billion: systems of this type attract economical customers who want to increase speed without sacrificing the availability of traditional HDDs. Revenue in the NAS segment was recorded at $6.22 billion.

From a geographical point of view, North America is the leader, where many large data centers and sites of leading cloud providers are located: in 2023, DSS purchases here reached $20 billion. This is followed by Europe with an estimate of about $15 billion, and the Asia-Pacific region closes the top three with $10. South America secured $5 billion, sales in the Middle East and Africa amounted to $4.22 billion. The list of leading industry players includes:

• Hewlett Packard Enterprise (НРЕ);;
• Hitachi Vantara;
• IBM;
• Samsung;
• Huawei;
• Seagate;
• Pure Storage;
• VMware;
• Dell;
• Oracle;
• Toshiba;
• Western Digital;
• Micron Technology;
• Cisco Systems;
• NetApp.

At the end of 2024, revenue in the global DSS market is estimated at $58.4 billion. Market Research Future analysts believe that in the future, the CAGR (average annual growth rate in complex percentages) will be 7.7%. As a result, by 2032, costs on a global scale could rise to $105.7 billion.^[1]

2021

The global flash-based DSS market is valued at $18 billion. Leaders

The global storage market, which is based solely on flash memory, reached $18 billion in 2021. Such data were presented in a study by ResearchAndMarkets, released in April 2022.

Analysts did not specify the dynamics of All-Flash equipment sales compared to 2020 and only noted that the market is on the rise and will remain on it in subsequent years. According to experts, the costs of companies and the public sector on DSS storage will increase by an average of 25% annually and will amount to $54.9 billion by 2026.

One of the growth drivers of the market in question is the continued rapid growth of data in the world. According to Cisco estimates, in 2021 the volume of Big Data reached 403 Ebytes against 272 Ebytes a year earlier and 179 Ebytes in 2019.

North America remains the main market for All-Flash equipment in 2021, which is partly facilitated by the fact that leading DSS manufacturers such as Dell, IBM and NetApp are based in this region. In addition, the North American business is actively investing in Big Data technology and related products. Another factor is the large number of data centers in North America - about 2,600 by the end of 2021, the highest in the world.

Most other solid-state storage systems are purchased by representatives of industries such as healthcare, IT, finance, retail and media.

Another catalyst for the growth of the flash-based DSS market is considered to be the advantages that such systems provide, namely:

• All-Flash systems provide deduplication and compression to meet high-capacity requirements;
• The performance of flash arrays is significantly higher than that of hybrid solutions, which makes them suitable for storing data in high-transaction environments, big data analytics, neural networks, and video analytics. Systems with in-memory calculations are most easily implemented on All-flash systems.
• Storage resources can be used efficiently without sacrificing performance.
• Storage backups are faster, allowing you to perform any SLA () SLA with your customer.
• Flash arrays tend to be smaller and take up less rack space. In addition, because flash memory runs on solid-state drives, it consumes less power because it lacks moving parts and requires less cooling due to fewer heat-generating components. In fact, when using Flash arrays, power and cooling costs are reduced by 75-80% compared to hybrid solutions.

The following companies were named the largest manufacturers of flash storage systems in 2021 (their share was not disclosed):

• Cisco
• Circuit Blvd
• Dell
• E8 Storage
• Echo streams
• Fujitsu
• Hewlett Packard Enterprise
• Hitachi
• Huawei Technologies
• IBM
• Silk
• Micron Technology
• NetApp
• NGX Storage
• Nutanix
• Oracle
• Pure Storage
• StorageCraft Technology
• IntelliFlash
• Tintri
• Velocity Group
• Vexata
• Violin Systems
• Western Digital
• Winchester Systems
• X-IO Technologies

The study also talks about the negative impact of the COVID-19 coronavirus pandemic on the All-Flash market. Due to coronavirus infection, factories in China in 2021 worked in a limited mode, creating a shortage of devices, components and materials for them.^[2]

How data storage will change from 2022

The rejection of centralized, data storage fundamentally new, algorithms enciphering scalable storage system is just part of the trends that will be relevant in the near future. Seagate On December 1, 2021, he shared his forecasts for 2022 based on a study of the existing market.

Growing information flows remain the main "trend maker" in the field of data storage.

Several factors led to such a significant increase in the volume of information at once. First, the active use of artificial intelligence systems, which requires processing as much data as possible for training. Secondly, the use of smart technology both in manufacturing and in the private sector. Billions of IoT devices give out a huge amount of information that also needs to be processed as quickly as possible - otherwise it will be irrelevant.

A research machine that collects information to train autonomous driving systems records up to 150 TB of information per day. And when the cars become completely unmanned (reaching the fifth level of autonomy), each will begin to produce about 32 TB of information per day. The average factory that uses artificial intelligence equipment will generate 5 PB (5 million GB) of data per week.

Increasing information processing rates and requirements pose new challenges to storage manufacturers and users.

The bandwidth of non-networks has clearly not kept pace with the growth in the pace of information production. In this situation, the only adequate way out is to use decentralized networks. It is they who should become the basis of the Internet of the future - the so-called Web 3.0.

The decentralized Internet is somewhat reminiscent of torrents. This will not only increase the speed of data exchange (with a centralized system, it strongly depends on the loading of this very center), but also be more independent of the problems of specific providers.

The traditional storage scheme uses a directory tree. Until a certain point, this did not pose a particular problem and made it easy to organize information. But with the active growth of this information, objective repositories that do not have a hierarchical structure have become more preferred. One of the main advantages of such storage is its simple scalability. Their capacity can be easily increased without having to assign partition values to the data.

Another significant bonus is the high speed of access. As the high speed of information exchange becomes the basis for smart technological solutions, the number of object storage in enterprises will actively grow.

The imminent appearance of quantum computers makes you look for new ways to protect information. The development of new mechanisms for post-quantum cryptography is already actively underway: the standards are expected to be ready by 2024. If you rely on the existing pace of technology development, quantum computers will become relevant by 2026, so at least a couple more years will remain to test and improve new algorithms.

The high speeds of individual computer components and data centers are often limited by the capabilities of interfaces. A good example is the interaction of the central processor with the graphics, as well as memory elements. In order for information to be exchanged without delay at the speed possible for a particular configuration, new interfaces are needed: high-speed and universal. In 2020, CXL introduced the open standard Compute Express Link based on PCIe 5.0, which will provide direct access of the processor and graphics accelerator to RAM. And in 2021, production of memory expansion modules with a CXL interface has already begun.

NVMe-enabled hard drives have also been demonstrated. This solution was a response to the gradually outdated SATA and SAS standards. Hard drives, although inferior in speed to solid-state drives, still remain relevant due to the low price of the unit of storage. NVMe support significantly expands their use in computers and storage centers.

The volume of physical data transportation will grow along with the growth of the total volume of information. Storage manufacturers already offer a sufficient number of different high-capacity drives, from mobile to modular data center solutions.

By 2025, the global data will exceed 175 ZB

According to the IDC Data Age 2025: The Digitization of the World from Edge to Core report, prepared in conjunction with Seagate, by 2025 the global amount of data in circulation annually will exceed 175 ZB. By comparison, saving one zettabyte requires 50 million 20 TB hard drives. This became known on September 30, 2021.

Based on a survey that IDC analysts conducted among 1,500 business leaders around the world at Seagate's request, the total volume of these enterprises will increase by 42.2% annually between 2020 and 2022. The main drivers are analytics, artificial intelligence and machine learning tools, as well as a growing number of Internet of Things devices that capture information, generate them and transmit them to the periphery. By 2025, they will be creating 44% of all data in the core and on the periphery. The further, the less structured and disparate the data will be.

The total storage capacity will be significantly less than the amount of data generated. According to the IDC forecast, given in the Rethink Data report, by 2025 enterprises will have storage facilities with a total capacity of 12.6 ZB (9 ZB of information are stored annually), and half of this volume will be managed by cloud service operators. It turns out that less than 10% will be saved, and 90% of all created data will be wasted.

Hard drives dominate the exabyte cloud storage market - they have the lowest cost per terabyte and the optimal ratio of price, total costs, power consumption, performance, reliability and durability. Solid-state drives, given their performance and latency, are great for demanding workloads that involve a large number of operations near computing nodes. Hard drives dominate cloud data centers because they provide the lowest possible total cost of ownership for the vast majority of tasks. According to analytical company IDC, 90% of data in cloud data centers is stored on hard drives, and the remaining 10% is stored on SSDs. And according to TRENDFOCUS, in the last year alone, the supply of hard drives in terms of capacity amounted to more than 1 ZB.

Monolithic, centralized storage architectures dominate the market, but as the need to perform delay-sensitive operations on the periphery grows, they will become irrelevant. IT architects and infrastructure engineers should use even more storage capacity for public, private, and peripheral clouds.

For September 2021, data is stored mainly in centralized storage on hard drives, but in the future preference will be given to multi-cloud storage, which allows companies to place data in public and private clouds, process it in the center and on the periphery.

The cost per terabyte of storage capacity is used per unit of cost of ownership. The data center capital IT costs are composed of the following:

• Rack costs with JBOD arrays,
• Cost of servers, network adapters, rack switches, routers, and other equipment required to operate the appropriate environment.
• expenses for electricity and personnel.

Consumption and cost of power consumption are typically key indicators in assessing the impact of operating costs on total cost of ownership. Power costs vary depending on the amount of consumption and geographic location, but typically range from 5 to 20 cents per kilowatt-hour. The energy efficiency indicator (PUE) also ranges from 1.2 to 2, which is greatly influenced by the efficiency of power conversion and cooling in the data center. This indicator reflects the energy efficiency of the data center.

Energy efficiency, in turn, matters in terms of energy costs and budget planning. Hyperscale operators have managed to reduce energy costs, making their share of total cost of ownership steady and evenly reduced. So the price of IT components has become the main component of total cost of ownership.

The development of renewable energy sources helps companies to reduce electricity costs and take care of the environment. In addition, energy costs will be reduced in the next decade due to the emergence of more energy efficient hard drives. In addition, such drives have power balancing functions, which allows cloud architects to balance performance and energy savings.

As of September 2021, hard drives are the basis of hyperscale storage due to the minimum cost per gigabyte of data. Here are three reasons why that won't change in the next 10 years.

1. Increasing hard drive capacity will reduce the total cost of ownership of your storage infrastructure. There are 18 TB drives on the market. In 2020, drives based on thermomagnetic recording technology with media heating (HAMR) appeared, the capacity of which was 20 TB, and by 2026 this figure will grow to 50 TB.

With high-capacity hard drives, the total cost of ownership of the storage infrastructure is reduced by 10% per 2 TB of additional HDD capacity. This is due to reduced costs per terabyte; The number of watts consumed per terabyte Reduced costs per slot compaction; availability of capacity in exabytes.

The total cost of ownership of an SSD is about six times higher than hard drives, and the price of the drives themselves on flash memory is about eight times higher. In the next decade, the growth in hard drive capacity is expected to successfully offset any decline in SSD prices. As a result, by 2030, the total cost of ownership of the hard drive infrastructure will still be about six times lower than the same for SSDs of the same capacity.

SSDs based on QLC NAND flash memory as an alternative storage technology for data centers are also noticeably inferior to hard drives in terms of cost, market availability and other characteristics when used in high-density DSS.

2. Hard drive performance will grow to meet business needs. The main advantage of SSD - the speed of writing and transferring data - will not be decisive in competing with HDD, since the latter also increase performance. For example, MACH.2 hard drives are equipped with multiple drives to double I/O per second. This enables cloud architects to maintain high performance environments as storage capacity grows.

3. Parity of associated costs. By continuing the trend of lower energy costs, this component of total cost of ownership will have an increasing impact on data centers. Although SSDs use about three times less power than hard drives, this difference will not significantly affect the total cost of ownership expressed in terabytes.

The researchers noted that hard drives and solid-state drives have the same capabilities in terms of capacity optimization.

TCO analysis is one of the tasks of IT architects. The indicator is of great importance for companies serving large customers using private local data centers and providing private cloud hosting services. Companies that offer infrastructure, platform or storage as a service face the same complexities as cloud storage architects.

Corporate "pools of information" are overflowing. To use and analyze data, enterprises need to store it somewhere. Options include public, private and hybrid clouds. The hybrid cloud can use a local data center that will reduce latency for peripheral applications, and a public cloud to store information that is less sensitive to processing speed. Public clouds have been a catalyst for storage growth, but a data-driven IT 4.0 economy will require hybrid clouds that combine the benefits of public and private. Solutions should be easily integrated with local and peripheral data centers.

Machine learning, artificial intelligence and an increase in the number of devices connected to the Internet of Things are leading to an increase in computing that requires high performance. The symbiosis of HDD and SSD within storage will gradually expand. SSDs will be implemented for high-performance computing, but the number of hard drives used for storing data that applications work with will increase even faster. The choice for HDD when deploying a storage architecture will be based on cost analysis and a balance between performance and cost.

2019

Digital Economy Compass: 52% of all company data is stored in its own capacity, 48% - in the clouds

Back in 2015, 83% of all data companies were stored at their facilities. In 2019 - already only 52%. The rest is in. cloudy storages

Digital Economy Compass 2019 estimates that by 2026, only 8% of all the company's data will be stored on its own.

IDC EMEA Quarterly Enterprise Storage Systems Tracker

According to IDC EMEA a study by Quarterly Enterprise Storage Systems Tracker, the Russian market storage systems in 2019 reached $508.09 million, showing an annual growth of 20.8%. The dynamics is explained by the development of demand from the corporate segment: - DSS the most important area of ​ ​ infrastructure modernization, necessary to increase IT capacity in any sector of the modern economy. There is a noticeable increase in investments in high-performance systems (flash drives) - in the last quarter their share amounted to 38.1% in monetary terms, although systems based on the base HDD still dominate the market. Mid-range systems continue to be the main platform with a 64% share, and corporate-level solutions have increased their share to 25%.

2018: Flash DSS Market on the Rise

The global storage system (DSS) market, which is based exclusively on flash memory, reached $5.9 billion in 2018, analysts at MarketsandMarkets Research calculated. Their data were released in December 2019.

Experts did not name the market dynamics relative to 2017 and only noted that storage sales are growing and will increase in the future. The market in question is expected to show annual growth of 24.53% and reach a size of $17.8 billion by 2023.

Researchers attribute the growing use of this equipment in data centers as the main factors in increasing demand for flash storage, as well as the technological advantages of such products compared to traditional HDD-based solutions (flexibility, ease of installation and support, etc.).

MarketsandMarkets Research named the following companies as the largest manufacturers of solid-state storage systems:

• Dell;
• Hewlett Packard Enterprise (HPE);
• NetApp;]]
• Pure Storage;
• IBM;
• Huawei;
• Western Digital;
• Hitachi;
• Kaminario;
• Micron.

The study also said that the segment of solutions used as object data repositories will grow fastest until 2023.

Analysts note that the scope of All-Flash storage has changed significantly. If earlier companies were ready to transfer flash storage only to the most performance-critical business applications, then in 2018 there was an increase in interest in full consolidation of enterprise data on solid-state drives. A global survey showed that 22% of companies by 2018 use flash arrays, of which 57% only for individual applications, and 26% completely replaced traditional storage systems in their servers.^[3]

2017

IDC Flash Storage Market Estimates

In December 2017, the analytical company IDC presented the results of a study of the global storage system market, which is based only on solid-state drives (All-Flash).

According to experts, the largest manufacturers of flash storage in 2017 were Dell EMC, IBM, HPE, NetApp and Pure Storage (listed in alphabetical order). The leadership group also includes Hitachi Vantara and Huawei.

Over the past two years, the flash array market has grown noticeably, and today the greatest differentiation between manufacturers can be seen by their development strategies, by their ability to assess and increase consumer satisfaction and manage technology update cycles, says IDC Research Director Eric Burgener. - Manufacturers such as Pure Storage raise the bar in this area and lead to increased consumer satisfaction.

According to the illustration attached to the study, Pure Storage leads the flash storage market. Analysts attributed the company's advantages to its effective strategy in the field of NVMe, cloud predictive analytics, high consumer satisfaction and technological update under the Evergreen program.

However, Pure Storage has many shortcomings. One is the lack of support for synchronous replication and derived configurations in FlashArray products. These features are important for enterprise workloads that cover several critical tasks.

The company's absence and profits play against Pure Storage. True, the vendor predicts a break-even level in fiscal 2018. The report for this period will be published in February 2018 calendar.

Pure Storage's revenue is growing faster than the All-Flash hardware market, the company has access to the funds it needs to grow its business and attract more customers. However, the manufacturer has not proven its ability to be profitable and remain so, the IDC notes.

According to analysts, in 2016-2017, the flash storage market underwent significant changes, thanks to which the majority of customers (about 80%) who previously did not use storage systems are going to choose flash solutions for working with corporate information.

By the end of 2017, all major DSS manufacturers are present in the All-Flash market, as well as several startups with annual revenues of more than $100 million.

Most of the revenue in this market is generated by sales of systems for web-based scalable applications and dense consolidation of mixed workloads.

The areas in which there is the greatest differentiation between manufacturers (in how they update technology and work with customers) are called NVMe solutions and cloud services for predictive analytics at IDC. They can be secondary to companies that are looking for a reliable platform for combining workloads, but vendors focused on these areas are contributing to market transformation that will significantly benefit customers in the long term, the report said.

By the end of 2017, about 30 product models were on the All-Flash hardware market. True, not all of them are suitable for consolidating corporate workloads.

The IDC study covers a comprehensive set of parameters evaluating vendor success in implementing enterprise-class storage platforms for large-scale consolidation of mixed workloads, including those that include the most critical applications.^[4]

Gartner's "magic quadrant" in the flash storage segment

In July 2017, the analytical company Gartner unveiled the "magic quadrant" in the field of storage systems (DSS) based on solid state drives (Solid-State Arrays, SSA). IBM Corporation was again among the market leaders.

Manufacturers of SSA solutions, which were included in the group of leaders according to Gartner, received the highest marks on the ability to implement projects and the completeness of the vision. These companies have a large market share, a high reputation and the necessary sales and marketing resources that allow them to create new technologies.

The largest manufacturers of flash arrays demonstrate a clear understanding of the needs of the market, they are innovators and authoritative experts. They have clearly articulated plans that current and prospective customers can use to develop their storage infrastructures and strategies. In addition, the leaders mentioned are present in all four main geographical areas, have stable financial performance and wide support for the platform, explained in the "magic quadrant."

IBM has been recognized as one of the leaders in the SSD-based DSS market, according to Gartner's methodology, for four consecutive years. According to experts, the company managed to strengthen its position after developing solutions with support for the NVMe protocol and the release of new hybrid products for mainframes, with which users can automate the process of transferring their data from local infrastructure to the cloud.

In addition to IBM, the leaders of the "magic quadrant" in the field of SSA storage included companies, Dell EMC,, HPE, NetApp Pure Storage Kaminario and. In Hitachi Data Systems the sector of applicants (Challengers) "magic quadrant" got. the JapaneseFujitsu^[5]

Q1

In the first quarter of 2017, the global storage (DSS) market almost stopped falling largely due to flash memory solutions, according to IDC analysts .

In January-March, the total revenue of manufacturers from sales of storage intended for use in IT infrastructures of companies and data centers reached $9.17 billion against $9.22 billion a year earlier. The decline was 0.5%, while in the fourth quarter of 2016 it was measured at 7.8%.

The corporate DSS market ended the first quarter with a relatively flat performance, although it corresponded to a well-known picture, says IDC analyst Liz Conner. - Costs for traditional external arrays continue to decline slowly, while the cost of implementing all-flash systems [they are based on drives based solely on flash memory - approx. TAdviser] again showed significant growth and contributed to the growth of the entire market. Meanwhile, the very nature of the hyperscale business leads to strong fluctuations in this market segment, which showed strong growth in the first quarter of 2017.

Server solutions accounted for $2.7 billion of revenue in the market in the first three months of 2017, which is 13.7% less than a year ago. The total DSS income of ODM manufacturers (supply equipment directly to data centers) jumped 78.2% on an annualized basis, exceeding $1.2 billion. The market share of these companies reached 13.2%.

The external storage segment in the first quarter of 2017 amounted to $5.2 billion, which is almost 3% less than in the same period of the previous year.

Quarterly sales of all-flash solutions increased by 75.7% and amounted to almost $1.4 billion. The implementation of hybrid products turned out to be equal to $2 billion or 22% in the total DSS market.^[6]

2013

The storage market reached $22.5 billion in 2013, up 1.4% from 2012 amid slow global growth, according to a report by analytics firm Gartner.

Gartner analysts consider the general weakness of the global economy, especially in North America, Asia-Pacific and EMEA countries, to be the reasons for the slow growth of the market. However, they note that the storage market grew 5% year-over-year in the fourth quarter of 2013, after falling significantly in the third quarter of the year to $6.3 billion.

The Gartner report also notes that the average price of a single device increased by 5.1% in 2013 compared to 2012, while the price per terabyte continued to decline, which indicates that users are switching to large storage systems.

The global market leader in 2013 was EMC, whose share increased by 3.7% to 34.3% or $7.7 billion. Leading global manufacturers also included IBM ($2.8 billion and 12.7%), NetApp2 ($2.7 billion and 11.8%) and HP ($2.1 billion and 9.2%).

Forecast: Global DSS Market to Slow Growth Due to Clouds

In June 2013, IDC released another forecast for the storage market until 2017. According to analysts, global enterprises will purchase storage systems with a total capacity of 138 exabytes of data in the next four years. The average annual increase in the total storage capacity realized from 2013 to 2017 will be about 30%.

However, compared to previous years of rapid growth in data storage consumption, the pace will slow down somewhat, as more companies are choosing technologies that optimize data storage and use cloud solutions, says IDC analyst Natalya Yezhkova.

According to her, to save storage space, tools such as data deduplication, data compression, virtualization and others are used. All these funds allow companies to save space for each bit of information, as well as turn to buying new storage systems when they really need them, avoiding spontaneous purchases.

Of the storage facilities totaling 138 exabytes that will be sold in 2017, 102 exabytes will be for external storage systems and 36 exabytes for internal ones. For comparison, in 2012, storage systems worth 20 exabytes for external and 8 exabytes for internal systems were implemented, according to IDC. In monetary terms, the cost of industrial storage systems will grow by about 4.1% per year and amount to $42.5 billion by 2017.

As mentioned above, in previous years, the global DSS market experienced a real boom, which is now declining. For example, in 2005, storage consumption at the industrial level increased by 65%, and in 2006 and 2007 - by 59%. In 2008 and until 2011, the storage market experienced an additional negative impact of the global economic recession.

According to Natalia Yezhkova, the growth in the use of cloud storage systems will definitely reduce the consumption of DSS solutions at the corporate level. On the one hand, cloud providers are also actively purchasing storage systems for their systems, for example, Google and Facebook build their own custom servers from ready-made components, but the IDC report does not take these servers into account.

IDC also expects that in terms of storage consumption, emerging markets will move far ahead of advanced markets in the near term, since, logically, the pace of economic growth is higher here. For example, already in 2014, the region of Central and Eastern Europe, the Middle East and Africa will surpass Japan in DSS costs. By 2015, the Asia-Pacific region, with the exception of Japan, will surpass Western Europe in terms of DSS consumption.

2012

DSS sales up 4.7% to $24.7 billion

According to IDC experts, global sales of external storage systems for the whole of 2012 amounted to $24.7 billion, which means an increase of 4.7% compared to the results of 2011. The total potential capacity of external storage systems delivered to the market in 2012 exceeded 20 exabytes, which is 27% higher than in 2011.

Looking at the global market for storage solutions by segment, IDC experts note, among other things, that in the fourth quarter, the networked storage segment (NAS together with Open/iSCSI SAN) showed revenue growth of 2.6% year-on-year and reached $5.7 billion. The EMC vendor continues to lead the market in the networked storage segment, occupying 34.5% of this market segment in terms of revenue. EMC is followed by NetApp, which accounts for 13.7% of revenue.    

In the Open SAN solutions segment, which grew 0.3% over the year, EMC is also the leading vendor, accounting for 28.7% of revenue. It is followed by IBM with 18% market share and HP and Hitachi, which account for 11.9% and 11.4% of the share, respectively. The NAS market, in turn, showed an increase of 8.8% compared to year-on-year. The leader here is EMC with 48.2% of the share in revenue, and NetApp ranks second with 28.3%.

In terms of revenue and distribution of external storage market share among major players, IDC reported that in the fourth quarter of 2012 the situation was as follows: In the first place with a share of 30.7% was EMC, for the year (compared with the fourth quarter of 2011) this vendor experienced revenue growth of 7.5%. According to the results of the fourth quarter of 2012, EMC's revenue in the market under consideration amounted to $2.071 billion.

Local suppliers in the CEMA region "feast" on the external storage market

The external storage market in the Central and Eastern Europe, Middle East and Africa (CEMA) region showed an increase in growth in the third quarter of 2012 and reached 304.7 Petabytes, which corresponds to an increase of 40% in annual terms.

According to IDC^[7], end-user spending on such systems increased by almost 18% over the same time period to $501 million. Moreover, the success of the market is largely due to the good results of second-tier vendors and local companies.

However, in the third quarter of 2012, major players such as EMC, HP and IBM continued to dominate the market. However, for the first time since 2006, their combined share fell below the 70% bar. EMC remained the market leader with a 35.7% share, HP was in second place with 17.3%, and IBM was in third place with 15.2%.

According to Pavel Roland, an IDC expert, it is local players and non-large vendors that are the locomotive of the external storage market in the CEMA region, achieving growth in%, expressed in double-digit and even three-digit numbers. The success of their business is often based on the supply to public sector enterprises, as well as the growth of supplies to the medium and large business segment.

Q3

The global storage (DSS) market grew 1.4% in the third quarter of 2012 compared to the same period in 2011, according to a report by IDC#^[8]It reached $3.46 billion.

According to Eric Sheppard, Research Director of IDC, the overall negative factors for the development of this market were the reduction in investments in archival systems, storage infrastructure systems and replication software. On the other hand, analysts note a surge in interest in data protection and recovery systems

EMC, NetApp and IBM remain the largest vendors in the DSS market, with 25.3%, 14.8% and 14.7%, respectively. At the same time, CommVault and Hitachi in the third quarter of 2012 demonstrated the maximum growth rate - in annual terms by 21.8% and 10.2%, respectively.

Separately, in the data protection and recovery segment, vendor revenue grew by 4.3% over the year to $1.24 billion, while in the device storage and management segment by 5.1% to $652.6 million.

Q1

The global external data storage controller-based (ECB) disk storage solutions market reached $5.4 billion in the first quarter of 2012, up 8% year-on-year. Gartner This is the 10th quarter in a row, when the revenue of vendors increases.

Analysts acknowledge that ECB storage manufacturers may have experienced minor difficulties with components, particularly hard drives (), HDD due to the October 2011 Thailand flood. However, the cost of such solutions remained at a fairly high level before the flood, and was calculated based on the number of terabytes.

EMC remained the market leader in the first quarter of 2012, growing revenue in this segment of its business by 2.4% in annual terms. The company is engaged in 32.5% of the market in monetary terms, followed by NetApp, IBM, Hitachi, HP, Dell, Fujitsu, Oracle.

ECB Disk Storage Vendors Worldwide Revenue, $ Million

Source: Gartner, June 2012

Among regional markets, Gartner's forecasts were primarily met by Latin America and North America, where the market size in annual terms for the first quarter of 2012 increased by 17.1% and 14.1%, respectively. Over a comparable period, the market for such devices in the Asia-Pacific region grew by 4.1%, and in Japan separately - decreased by 12.3%.

DSS Spending Plans: Manager Survey

According to TheInfoPro, a tiny number of IT managers plan to invest in analytical tools for processing "big data" in the near future. Thus, 56% do not intend to spend money on such a decision until the end of 2013. Most of the respondents in the Technology Heat Index Survey noted that they simply do not need tools like Hadoop, since they meet very specific business requirements.

Among other technologies, the study participants ranked first in investment priorities in server consolidation and virtualization (43%), updating business applications (40%), archiving information (32%), introducing new business systems (29%) and recovery tools (18%).

What initiatives are critical to your networked storage infrastructure? (up to three answer options)

TheInfoPro, 2012

Among storage technologies, the majority of investments in 2011 were made in Fibre Channel (48%), SATA was in second place (31%), SAS accounted for 19%. At the same time, in 2012, Fibre Channel plans to increase costs by only 11% (apparently, there was a certain saturation), but on SAS - 41% of the survey participants.

What% of the investment was in what storage technologies in 2011 and what are the plans for these technologies for 2012?

TheInfoPro, 2012

The study also found that the number of companies planning to implement SSDs rose from 7% in 2011 to 37% in 2012.

Which vendor products are used in hybrid arrays?

TheInfoPro, 2012

In hybrid arrays, solutions, EMC,, NetApp,, and were most often used Hitachi IBM. HP Oracle Dell

2011 NAS and Unified DSS sales growth by 32% to $6.8 billion

According to Gartner, the global NAS/unified storage market grew by 32.5% in 2011 compared to 2010 and reached $6.8 billion . The NAS-only segment increased, analysts estimated, by 21.5% to $4.5 billion. The report also said that a key driver of this market growth is the fact that block-access storage vendors have added NAS capabilities with a unified management interface to their SAN disk arrays.

The total revenues of the disk storage market in 2011 increased by 8.2% compared to 2010, reaching $31.1 billion. EMC and HP led the way with 21.5% and 18.5% of the market, respectively, followed by IBM and Dell, with 15.4% and 11.4% shares, respectively.

Disk Storage Vendors, 2011 (Revenue in Million)

Supplier	2011 revenues	2011 Market Share	2010 revenues	2010 Market Share	2011/2010 revenue growth
1. EMC	$6,694	21.5%	$5,416	18.9%	23.6%
2. HP	$5,758	18.5%	$5,452	19.0%	5.6%
3. IBM	$4,787	15.4%	$4,490	16.0%	4.3%
4. Dell	$3,552	11.4%	$3,417	11.9%	3.9%
5. NetApp	$2,911	9.4%	$2,352	8.2%	23.7%
The others	$7,376	23.7%	$7,491	26.1%	-1.5%
All suppliers	$31,079	100.0%	$28,718	100.0%	8.2%

Source: IDC Worldwide Disk Storage Systems Quarterly Tracker, March 1, 2012

External Disk Storage Market

Production revenues in the global external disk storage market in 2011 increased by 10.6% compared to 2010 and amounted to $23.5 billion in absolute terms. The leading suppliers for the year are EMC and IBM with market shares of 28.5% and 13.5%, respectively, followed by NetApp and HP with 12.4% and 10.7% of the market, respectively.

TOP-5 Revenues from Global External Disk Storage Vendors, 2011 (Revenues in Million)

Supplier	2011 revenues	2011 Market Share	2010 revenues	2010 Market Share	2011/2010 revenue growth
1. EMC	$6,694	28.5%	$5,416	25.5%	23.6%
2. IBM	$3,183	13.5%	$2,922	13.8%	8.9%
3. NetApp	$2,911	12.4%	$2,352	11.1%	23.7%
4. HP	$2,524	10.7%	$2,344	11.0%	7.7%
5. Hitachi	$2,068	8.8%	$1,741	8.2%	18.8%
The others	$6,116	26.0%	$6,460	30.4%	-5.3%
All suppliers	$23,495	100.0%	$21,236	100.0%	10.6%

Source: IDC Worldwide Disk Storage Systems Quarterly Tracker, March 1, 2012

According to Liz Conner, senior storage analyst at IDC, the external disk storage market ended 2011 with a strong upswing, which helped achieve a growth rate of 10.6% over the year. "The overall growth of the market was facilitated by developing regions, where in 2011 there was a high steady growth. In developed regions, there was a soft dynamics of growth, since the economies there entered the phase of exit from the recession, "the analyst noted.

According to her, another factor that affected the growth of the market in 2011 and, in particular, the strengthening of growth in the fourth quarter was the delayed shortage of hard drives caused by floods in Thailand. The enterprise storage market is expected to experience the full extent of this shortfall in 2012, resulting in minimal impact on the fourth quarter and 2011 as a whole.

2008

Against the backdrop of the crisis and downward sales in the global IT market, the storage segment remains not only stable, but also growing. In the third quarter of 2008, sales here amounted to $3.1 billion, which is 11.06% more than last year's results. Such data are provided by analysts from International Data Corp. The market leader here remains EMC, which in the reporting year managed to sell goods and services for $758 million, which amounted to almost a quarter of the total sales turnover in this area.

"Data

archiving, protection and recovery, data management, and networked storage systems deliver the best annual growth in the current environment. Archiving is becoming an almost natural business need, distributed file systems are gaining popularity in virtualization, sales growth in data protection and recovery is also quite logical - data loss often means business loss for companies, "says James Baker, IDC analyst

.

The top five global storage vendors are as follows (in millions of dollars):

!EMC!Symantec!IBM!NetApp!Hewlett-Packard!CA

Manufacturer	3Q08 Revenue	T3Q08 Market Share	3Q07 Revenue	3Q07 Market Share	3Q08/3Q07 Revenue growth
$758	24.7%	$711	25.8%	6.7%
$545	17.8%	$472	17.2%	15.3%
$396	12.9%	$354	12.9%	12.0%
$261	8.5%	$228	8.3%	14.3%
$133	4.3%	$113	4.1%	17.6%
$124	4.0%	$119	4.3%	4.3%
Others	$851	27.7%	$753	27.4%	13.0%
Total	$3 068	100.0%	$2 750	100.0%	11.6%

See also

• Direct Attached Storage, DAS
• NAS
• SAN
• Data backup
• Analytics Storage Systems

Notes