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EDITOR’S COLUMN

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COMPANIES IN THE NEWS

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3Com

ABI Research acrolinx Actebis Ares

ASCDI Avaya Azlan

BSO Network Solutions CA

Check Point Cisco

Clarity Compel

Computer 2000 Comstor Context

Corpus Solutions Crossbeam

Data Robotics Deloitte DSGi EDB EMC

Engineering

Extreme Networks Ferrovial

Foote Partners GFI Informatique GFI Software Havok HP

IBM IDC

Infosys

Ingram Micro Intel

Intermec IronKey Mercom

Microsoft Monitise Morse

NetApp Netstore Nortel Novell Ovum

Pan Dacom

PGP Corporation PWC

Q1 Labs SAP SCC

Solgenia Talend

Tech Data Technidata Telefonica Tieto

Unitronics Watchguard Zetes

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10 7

1,3 7 8

3,8,9 11 7 4 8

1,3,8 7 3

11

1,3 11 7 7

11 9

11 4

2,4 5 7 5

1,3 6 8 11

2,4,10 2

10,11 5 9 6

10 4

11

10 3 3 2 3

3,9 5

11 7

11 7

11 4 7 6 5

11 4 5 3 7

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HP storage has a problem

their demand and supply more in line, but prices have been rising slightly, and while drives will be constrained for most of this year, product is available. But looking at enterprise storage, there is a

A

bit of an issue. Partly because of virtualisation, and partly because all enterprise spending took a holiday last year, there has been a bit of a hiatus in both development and customer adoption of larger systems. IBM has been doing well, as has NetApp. EMC had been flat until a good first quarter this year, particularly looking at its history - those early days of fantastic growth seem some way off now. But we have to say that one of the real losers is HP, Having inherited the brand and reputation

“Mediocre performance in the mid range...not a lot of growth in the high end...we frankly have to do a better job.” HP CEO

of Storageworks, it now has a wide and undefined product portfolio. In the last available figures, its strength in enterprise was driven by its strength in industry standard servers (ISS) but was partially offset by storage and business critical systems, which experienced year-on-year decline of 3%

t a component level everything in the storage business is fine. OK, so they need to get

and 22%, respectively. As HP’s CEO Mark Hurd said at the last post-

results analyst’s briefing, acknowledging that HP has an issue: “There is going to be a pretty strong convergence in the server and storage market. We think there is a move towards more internal, away from external storage, which we think benefits the position we have in the server market. [There was] very mediocre performance in the mid range that we think we can improve and then not a lot of growth in the high-end. We just, frankly, have to do a better job from an execution perspective.” Compare that with IBM’s position where

investment in software has meant it can claim storage management as a “key area”. Storage management software grew double digits which complements IBM’s growth in storage hardware. IBM’s storage revenue grew 11% year-over-year. Its disk grew 18% and gained share with double- digit growth in enterprise, mid-range and low-end products. Why is IBM so good at this? Storage is neither a high-margin business

warranting the interest of specialist channels, nor is it straightforward enough to be just another sku in a distribution portfolio. But IBM has been supporting its channels, claiming to have globally won 150 previous Sun resellers to its brand through a combination of finance and channel support. HP, on the other hand seems to be taking its channel for granted; the latest changes in t&cs making it less worthwhile for partners. Is its storage market still such an unknown?

Coming next in IT Europa

Belgium and Luxembourg are often tagged as part of a bigger group of countries, but each have a distinctive market and requirements. The channels have been different too, adjusting to small country economics with specialist areas. We will be writing about IT supply in the next issue. If you have

anything to add or someone we should talk to, let us know what you think. Contact us now on +44

(0) 1895 45 45 95

Or you can email me:

john.garratt@ iteuropa.com

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30 APR 2010

EDITOR’S COLUMN

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