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Market Foresight

External Storage Systems Sales Decline 5.4
Percent Y-o-Y

Total worldwide enterprise storage systems factory revenue was up 2.9 percent Y-o-Y and reached USD 10.8 billion in the second quarter of 2017 (2Q17), predicts IDC. Total capacity shipments were up 16.5 percent Y-o-Y to 65.3 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 73.5 percent Y-o-Y to USD 2.5 billion. Sales of server-based storage declined 13.4 percent during the quarter and accounted for USD 2.9 billion in revenue. External storage systems remained the largest market segment, but the USD 5.3 billion in sales represented a decline of 5.4 percent Y-o-Y.

HPE/New H3C Group held the number one position within the total worldwide enterprise storage systems market, accounting for 20.1 percent of spending. Dell Inc held the next position with an 18.4 percent share of revenue during the quarter. NetApp finished third with 6.4 percent market share. IBM finished in the fourth position, capturing 5.2 percent of global spending, and Hitachi rounded out the top five with 3.8 percent market share. As a single group, storage systems sales by ODMs selling directly to hyperscale datacenter customers accounted for 23.3 percent of global spending during the quarter.

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