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IDC: Q1 Storage Sales Shows Huge Shift From Enterprise To Cloud

Joseph F. Kovar

The Shifting Focus Of Storage

The storage market appears to be making a big shift away from traditional enterprise storage vendors to the hyper-scale data center companies, according to the first quarter edition of IDC's 2017 Worldwide Quarterly Enterprise Storage Systems Tracker.

Framingham, Mass.-based analyst firm IDC said total worldwide enterprise storage revenue in the first quarter was $9.2 billion, down slightly from the first quarter of 2016 despite a massive 41.4 percent increase in capacity shipped over the past year.

Three of the top five storage vendors – Dell EMC, HPE, and Hitachi – saw significant drops in their storage revenue in the first quarter compared to last year, while NetApp saw a huge jump and IBM grew a bit, according to IDC.

But the biggest change was a nearly 80 percent jump in the amount of storage that went to what IBM calls ODM direct, which primarily includes hyper-scale data center companies including the top public cloud vendors and cloud-based application providers, showing a solid shift in the way businesses and consumers consume storage capacity.

For a look at what happened during the first quarter of 2017, keep reading.

 
Joseph F. Kovar

Joseph F. Kovar is a senior editor and reporter for the storage and the non-tech-focused channel beats for CRN. He keeps readers abreast of the latest issues related to such areas as data life-cycle, business continuity and disaster recovery, and data centers, along with related services and software, while highlighting some of the key trends that impact the IT channel overall. He can be reached at jkovar@thechannelcompany.com.

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