IDC Finds Strong Demand for Archiving and Data Protection and Recovery Software Driving Market Growth in the Third Quarter of 2007
FRAMINGHAM, MA – December 10, 2007 – According to IDC’s Worldwide Quarterly Storage Software Tracker, the worldwide storage software market experienced its 16th consecutive quarter of year-over-year growth in the third quarter of 2007 with revenues of $2.8 billion, a 9.8% increase over the same quarter one year ago.
“Overall market growth was driven by strong performance in both the archiving and data protection and recovery markets,” according to Michael Margossian, research analyst, Storage Software at IDC. “Customer demand for storage replication seems to be cooling off, while the need for archiving appears to be picking up.”
The archiving market grew 13.6% year over year, driven by e-discovery, regulatory compliance, and overall storage optimization needs. Data protection and recovery, while down from 2Q07, had strong year-over-year growth of 13.1%. This growth was perpetuated by five out of the top six vendors having double-digit growth over 3Q06.
EMC led the overall market with 25.6% revenue share in the third quarter of 2007. Symantec took the second position with 17.0% revenue share, while IBM finished in the third position with 12.4% revenue share. Network Appliance finished in the fourth position with 10.9% revenue share. Again, CA and HP rounded out the top 5 in a statistical tie, with both having a 4.3% revenue share.
Top 5 Vendors, Worldwide Storage Software Revenue, Third
Quarter of 2007
(Revenues are in Millions)
Vendor 3Q07 Revenue Market Share 3Q06 Revenue Market Share 3Q07/3Q06 Revenue Growth
1. EMC $711 25.6 % $699 27.6 % 1.7 %
2. Symantec $471 17.0 % $419 16.6 % 12.5 %
3. IBM $345 12.4 % $296 11.7 % 16.5 %
4. Network Appliance $302 10.9 % $231 9.1 % 31.1 %
5. CA $119 4.3 % $114 4.5 % 4.7 %
5. Hewlett-Packard $119 4.3 % $119 4.7 % -0.4 %
Other $708 25.5 % $651 25.7 % 8.8 %
All Vendors $2,775 100.0 % $2,517 100.0 % 9.8 %
Source: IDC Worldwide Quarterly Storage Software Tracker, December 2007
Notes: Starting in Q2 2007, IBM is reported as the combined entity of IBM and Softek.
Taxonomy Note: IDC has updated its storage software taxonomy to reflect changes in the market over the last several years. The storage software taxonomy includes eight functional markets: data protection and recovery, archive and hierarchical storage management (HSM) (including email archiving), storage replication, storage management, storage device management, storage infrastructure, file system, and "other".
IDC’s Worldwide Quarterly Storage Software Tracker is a quantitative tool for analyzing the global storage software market. This Tracker counts new license and maintenance revenues quarterly and provides data segmentations by vendor, submarket, functional product family, and region. It further characterizes the storage resource management (SRM) and storage replication markets by the execution location of the software within the host, fabric, appliance or storage system.
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