March 04, 2012, 7:26 AM — In the last quarter of 2011, disk storage systems generated more than $8.5 billion in revenue, representing a 3.5% increase from the prior year's fourth quarter, according to research firm IDG. For all of 2011, disk storage systems grew 7.7%.
For 2011 as a whole, factory revenues for the worldwide external disk storage systems market grew 10.6% to $23.5 billion year over year. The total disk storage systems market, which includes the server market, grew by 8.2% to $31.1 billion in 2011 compared to 2010.
But it was the amount of capacity on those disk storage systems that skyrocketed in the last quarter. In the fourth quarter, vendors shipped more than 6.2 petabytes, or 22.4% more capacity year over year.
"The external disk storage systems market ended 2011 with strong year-over-year revenue growth that helped to push the market to 10.6% growth for the entire year," said Liz Conner, IDC's senior research analyst for storage systems.
Conner said market growth was driven by emerging markets in regions including China, Brazil, Russia, Central and Eastern Europe, the Middle East and Africa. Mature areas such as Western Europe and the U.S. saw growth soften as their economies entered the recession recovery phase.
Fourth-quarter growth was not hampered by flooding in Thailand that occurred in August through October of last year, as supplies had yet to be affected. Floods temporarily shut down as much as 75% of drive-leader Western Digital production. The impact of the floods will be felt more in the first quarter of 2012, IDG said.
"The enterprise storage market is expected to start feeling the brunt of this shortage in 2012, resulting in minimal impact on the fourth quarter and 2011 as a whole," Conner said.
In the fourth quarter, EMC maintained its lead in external disk storage systems with a 29.4% revenue share. IBM held on to second place with a 15.2% market share, followed by NetApp with 11.2% and HP with 10.3% market shares. Hitachi ended the quarter in fifth place, with 9.2%.