De-growth in external storage after telecom spending slows

The enterprise storage market was largely driven by banking, professional services and telecom organisations in this period

De-growth in external storage after telecom spending slows
Strategist Team
Last Updated : Aug 15 2016 | 12:10 AM IST
India's external storage market saw a de-growth of 5.5 per cent year-on-year (in vendor revenue) and stood at $65.6 million in Q1 2016, according to International Data Corporation's (IDC) Asia-Pacific Quarterly Enterprise Storage Tracker. The enterprise storage market was largely driven by banking, professional services and telecom organisations in this period.

However, the quarter witnessed a slowdown in telecom spending while professional services, resource and education sectors had huge YOY growth in their storage deployments. Increased adoption of all-flash arrays was seen across verticals due to better performance at an affordable price.

Recent technology advancements in flash have resulted in decreased prices, thereby lowering the total cost of ownership. Workloads like virtual desktop infrastructure, online transaction processing, database and real-time analytics are constantly finding traction for flash storage across verticals.

Technologies like software-defined storage and hyper converged infrastructure are expected to cannibalise the traditional external storage market and is expected to have a large impact in the next couple of years.

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First Published: Aug 15 2016 | 12:10 AM IST

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