FRAMINGHAM, Mass. — (BUSINESS WIRE) — June 8, 2017 — Total worldwide enterprise storage systems factory revenue was down 0.5% year over year and reached $9.2 billion in the first quarter of 2017 (1Q17), according to the International Data Corporation ( IDC) Worldwide Quarterly Enterprise Storage Systems Tracker. Total capacity shipments were up 41.4% year over year to 50.1 exabytes during the quarter. Revenue growth increased within the group of original design manufacturers (ODMs) that sell directly to hyperscale datacenters. This portion of the market was up 78.2% year over year to $1.2 billion. Sales of server-based storage were down 13.7% during the quarter and accounted for $2.7 billion in revenue. External storage systems remained the largest market segment, but the $5.2 billion in sales represented a modest decline of 2.8% year over year.
"The enterprise storage market closed out the first quarter relatively flat, yet adhered to a familiar pattern," said Liz Conner, research manager, Storage Systems. "Spending on traditional external arrays continues to slowly shrink while spending on all-flash deployments once again posted strong growth and helped to drive the overall market. Meanwhile the very nature of the hyperscale business leads to heavy fluctuations within the market segment, displaying solid growth in 1Q17."
1Q17 Total Enterprise Storage Systems Market Results, by Company
Dell
Inc held the number 1 position within the total worldwide enterprise
storage systems market, accounting for 21.5% of spending. HPE held the
next position with a 20.3% share of revenue during the quarter. HPE's
share and year-over-year growth rate includes revenues from the H3C
joint venture in China that began in May of 2016; as a result, the
reported HPE/New H3C Group combines storage revenue for both companies
globally. NetApp finished third with 8.0% market share. Hitachi
and IBM finished in a statistical tie* for the fourth position, each
capturing 5.0% of global spending. As a single group, storage systems
sales by original design manufacturers (ODMs) selling directly to
hyperscale datacenter customers accounted for 13.2% of global spending
during the quarter.
Top 5 Vendor Groups, Worldwide Total Enterprise Storage Systems
Market, First Quarter of 2017
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Company |
1Q17
|
1Q17 Market
|
1Q16
|
1Q16 Market
|
1Q17/1Q16
|
||||||
1. Dell Inca | $1,968.5 | 21.5% | $2,304.2 | 25.0% | -14.6% | ||||||
2. HPE/New H3C Group b | $1,865.0 | 20.3% | $2,289.9 | 24.8% | -18.6% | ||||||
3. NetApp | $731.6 | 8.0% | $645.5 | 7.0% | 13.3% | ||||||
T4. Hitachi* | $460.1 | 5.0% | $508.0 | 5.5% | -9.4% | ||||||
T4. IBM* | $455.3 | 5.0% | $448.5 | 4.9% | 1.5% | ||||||
ODM Direct | $1,212.9 | 13.2% | $680.5 | 7.4% | 78.2% | ||||||
Others | $2,478.6 | 27.0% | $2,344.4 | 25.4% | 5.7% | ||||||
All Vendors | $9,172.0 | 100.0% | $9,221.0 | 100.0% | -0.5% | ||||||
Source: IDC Worldwide Quarterly Enterprise Storage Systems Tracker, June 8, 2017 | |||||||||||