Storage Software Market Increases Sequentially But Declines Nearly 10% Year Over Year, According to IDC

FRAMINGHAM, Mass. – September 8, 2009 – According to IDC’s Worldwide Quarterly Storage Software Tracker, the worldwide storage software market experienced another decline in year-over-year growth in the second quarter of 2009 (2Q09) with revenues of $2.8 billion, representing –9.8% growth over the same quarter one year ago.

"The storage software market is slowly starting to recover with positive growth over the first quarter of 2009," said Michael Margossian, research analyst, Storage Software at IDC. "While only two out of the top five vendors experienced growth over the previous quarter, the replication market grew 5% compared to 1Q09 led by NetApp, which has been refocusing its efforts and grew 20% from the previous quarter."

"In the second quarter we generally start to see growth from the first quarter, and this year was no exception," added Noemi Greyzdorf, research manager, Storage Software. "The data protection and recovery market had a sequential growth rate of nearly 3% and the top three vendors in this market – Symantec, IBM, and EMC – all had positive growth. In addition, the device management and archiving software markets each managed positive gains over the first quarter."

EMC led the overall market with 22.4% revenue share in the second quarter of 2009. Symantec held onto the second position with 18.5% revenue share, while IBM finished in the third position with 11.5% revenue share. NetApp finished in the fourth position with 8.5% revenue share while CA rounded out the top 5 with 4.1% revenue share.

Top 5 Vendors, Worldwide Storage Software Revenue, Second

Quarter of 2009

(Revenues are in Millions)

Vendor 2Q09Revenue 2Q09MarketShare 2Q08Revenue 2Q08MarketShare 2Q09/2Q08Revenue Growth

1. EMC $638 22.4% $745 23.6% –14.4%

2. Symantec $524 18.5% $590 18.7% –11.2%

3. IBM $328 11.5% $403 12.8% –18.5%

4. NetApp $241 8.5% $239 7.6% 0.8%

5. CA $116 4.1% $136 4.3% –14.2%

Others $886 31.2% $894 28.4% –0.9%

All Vendors $2,842 100.0% $3,150 100.0% –9.8%

Source: IDC Worldwide Quarterly Storage Software Tracker, September 2009.

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, archiving (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.

For more information about IDC's Worldwide Quarterly Storage Software Tracker, please contact Hoang Nguyen at 508-935-4718 or hnguyen@idc.com.

About IDC

IDC is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. IDC helps IT professionals, business executives, and the investment community make fact-based decisions on technology purchases and business strategy. More than 1,000 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. For more than 45 years, IDC has provided strategic insights to help our clients achieve their key business objectives. IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. You can learn more about IDC by visiting www.idc.com[http://www.idc.com].

All product and company names may be trademarks or registered trademarks of their respective holders.

IDC Noemi Greyzdorf, 508-935-4563 ngreyzdorf@idc.com or Michael Margossian, 508-988-6756 mmargossian@idc.com or Michael Shirer, 508-935-4200 press@idc.com