Modular SAN switch sales propping up SAN market
Modular SAN switch sales propping up SAN market
Dec 2, 2004: The sale of high end switches has rescued an otherwise flat quarter in the overall SAN market, according to research firm Dell’Oro Group.
Its new report reveals sales in the modular storage area network (SAN) switch segment (also known as directors) grew sequentially by eight percent during the quarter. This increase offset declines in the fixed switch and host bus adapter (HBA) segments, producing a flat result for the overall SAN market in the third quarter.
"Expectation of new product introductions during the past two quarters has led to pent-up demand for director switches,” said John Carvell, principal analyst for SAN research at Dell’Oro Group. “This has benefited Brocade with its Silkworm 24000 and CNT with its UltraNet Multi-service Director in particular. Both companies have seen growth in revenue for these products.”
Total modular SAN switch revenue for the quarter was US$162 million. McData retained its leadership position in the market segment, but saw its revenue decline by 6 percent, while its closest competitors all made substantial gains. Brocade took second spot with revenue growth of 15 percent, with Cisco in third spot with a 21 percent revenue increase, and CNT fourth with a revenue increase of 27 percent.
Carvell added that network managers are revising their SAN network strategy, as growing volumes of information require increased storage capacity.
"Enterprises are deploying higher density switches with increased port capacity to consolidate their network needs and handle increasing storage demand," he said. "As SAN architecture migrates from a flat topology to a core-to-edge solution, this transition will continue to fuel strong growth in the director product segment."
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