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External Storage Market in India Witnessed an Exponential YoY Growth of 23.1% in Q3 2018
December 28, 2018 | IDCEstimated reading time: 1 minute
As per IDC’s latest Asia/Pacific Quarterly Enterprise Storage Systems Tracker Q3 2018 release, India’s external storage market witnessed a growth of 23.1% YoY (by vendor revenue) and stood at $81.8 million in Q3 2018.
Increased storage spending from professional services organizations drove the incremental growth in Q3 2018. Professional services, banking, manufacturing, telecommunications and government industries contributed close to 82% of overall external storage market in Q3 2018.
“Infrastructure modernization to improve agility and scalability is of high importance for today’s organizations. This trend is compelling organizations to deploy/consider new age storage solutions.” says Dileep Nadimpalli , research manager, Enterprise Infrastructure, IDC India.
Organizational demand for high performance and low latency storage solutions led to a triple digit YoY growth of All Flash Arrays in Q3 2018. Majority of the vendors started offering NVMe based flash arrays to drive an incremental growth in the coming quarters.
Midrange external storage segment saw an exponential YoY growth and continued to lead the market constituting more than 66.9% of the total Q3 2018 external storage market, while both entry-level and high-end storage segments declined YoY in Q3 2018.
"The Storage scene in India is seeing growth and leading the Information Transformation. Majority of the OEMs are focusing on new technologies and innovative pricing models to ensure traditional external storage consumption in the market in the wake of increasing acceptance of cloud storage solutions across organizations," says Ranganath Sadasiva, director, Enterprise Solutions, IDC India.”
Dell Inc continued to be the market leader with a 30.3% market share by vendor revenue, followed by Hewlett Packard Enterprise with 18.0% market share in Q3 2018. Smaller external storage OEMs witnessed a significant YoY growth due to large multi-million-dollar deals from professional services organizations in Q3 2018.
IDC India Forecast
The external enterprise storage systems market is expected to grow at a single digit compounded annual growth rate (CAGR) for the 2017-2022 time-period. Increased spending on digital transformation initiatives across industries would drive incremental revenues in the coming quarters.
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