EMEA Purpose-Built Backup Appliances Market Revenue Declined Amid Market Evolution in Q2

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EMEA purpose-built backup appliance (PBBA) vendor revenues decreased 5.6% year-over-year to reach $267.7 million in the second quarter of 2019, according to International Data Corporation's (IDC) Worldwide Quarterly Purpose-Built Backup Appliance Tracker.

Total EMEA PBBA open systems vendor revenue decreased 1.0% year on year, with revenues of $252.4 million. Mainframe system sales also decreased 46.4% year on year in 2Q19.

"The EMEA PBBA market experienced a dismal year-over-year decline in the second quarter of 2019 as the market continued to evolve," said Jimena Sisa, senior research analyst, EMEA Storage Systems, IDC. "Due to organizations’ digital strategies, the focus continues to shift away from legacy infrastructures to those that can offer the best way to deal with their most strategic asset — data.”

Regional Highlights

Western Europe

PBBA vendor revenue in Western Europe declined in 2Q19 posting -8.3% year-over-year to reach $211.6 million.

"The financial and political turmoil due to Brexit and tension in the Eurozone is affecting investment confidence and directly impacting directly IT budgets,” said Sisa. "Organizations are delaying IT upgrades and new projects with a detrimental effect on infrastructure."

CEMA

Conversely to Western Europe, Central and Eastern Europe, Middle East and Africa (CEMA) PBBA market resumed growth after the first quarter of 2019 and reached revenue of $56.06 million for 6.4% YoY growth in 2Q19.

Overall market growth could be attributed to open systems as mainframe systems, which marked a steep decline for the quarter. Most PBBA vendors had either positive or flat performances, with some shift from midrange to high-end solutions.

“Both storage incumbents and companies focused exclusively on data protection continue to thrive in the PBBA market as CEMA is not so affected by the negative macroeconomic trends in Europe,” said Marina Kostova, research manager, EMEA storage systems, IDC. “The demand for backup appliances co-exists with other data protection solutions as end users are prone to invest in more than one technology to leverage their benefits.”