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Wednesday, 16 March 2011 11:57

Aussie storage growth above average: Gartner

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Australian expenditure on storage is growing faster than the rest of the world, but lags behind the Asia Pacific region as a whole. This comes after two years of declining revenue for vendors in Australia.


Figures published by industry analyst Gartner show Australian spending on external controller-based (ECB) storage grew by 19% in 2010. This compares with 18% worldwide, and 21% in Asia Pacific excluding Japan.

Growth in the region was quite evenly spread, ranging from nearly 18% to 23% in different nations.

The big winner was EMC, which saw its revenue from the region grow from $US533.9 million to $US716.0 million. Most other vendors also saw improved revenues, but the biggest loser was Oracle. In 2009, Sun had $US134.4 million revenue in 2009. Now part of Oracle, it only recorded $US82.1 million revenue in 2010.

Dell performed well in percentage terms, going from $US127.6 million to $US174.2 million.

There were some changes in the technology people bought during 2010. In 2009, the biggest growth was in lower-end devices," explained Jimmie Chang, principal analyst at Gartner.

Please read on to find out what led to the change.



But in 2010, "Economic recovery drove storage market growth in the region. Storage infrastructure modernisation and consolidation driven by server virtualisation, disk-based data protection plus expanded disaster recovery projects, multimedia-based applications, and emerging cloud storage services are the engines that are driving the ECB disk storage vendor revenue growth in Asia Pacific."

One curious finding was that sales of content addressed storage declined in all other regions, it grew by 40% in Asia Pacific excluding Japan. Furthermore, most of this growth came from Singapore and Japan. Gartner officials offered no explanation for this quirk, but noted that it represents only 1% of the ECB market.

Gartner has found that data growth is seen as a major challenge by large Australian enterprises, but notes that there are opportunities to control costs in this area.

"By taking advantage of capabilities in the storage technologies you already have, for example compression, you can reduce the amount of storage you need to buy," said Gartner research vice president Phil Sargeant. "We can also reduce data volumes by moving away from a 'keep everything' approach to storing information. While government regulations dictate how long certain information must be kept, there is no need to store all of it on the best, most expensive storage you can buy."

 

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Stephen Withers

Stephen Withers is one of Australia¹s most experienced IT journalists, having begun his career in the days of 8-bit 'microcomputers'. He covers the gamut from gadgets to enterprise systems. In previous lives he has been an academic, a systems programmer, an IT support manager, and an online services manager. Stephen holds an honours degree in Management Sciences and a PhD in Industrial and Business Studies.

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