April 22, 2010 -- All signs are pointing to recovery in the data storage market as EMC, IBM and NetApp are all reporting big – in some cases record breaking – earning and sales.
EMC this week reported all-time record Q1 revenue, 92% profit growth, record quarterly free cash flow and an increase to its full-year 2010 business outlook.
EMC CEO Joe Tucci called the past few months "the best first quarter in company history" and credited the double-digit growth to EMC's "private cloud strategy and focus on four multi-billion dollar markets."
For the full details of EMC's Q1 results see "EMC breaks first quarter sales records
IBM is also feeling the storage love. Big Blue announced its earnings this week, including an 11% jump in revenue growth for its System Storage hardware business for 1Q 2010.
Rewind seven weeks and NetApp topped expectations with Q3 GAAP revenues of $1.01 billion compared to $746 million in the same period last year (see "NetApp hit$ a home run
The big boys are pulling in big bucks. The data storage market isn't recession-proof, but data doesn't stop growing and there's always a need for storage capacity despite advances in data reduction technologies and consolidation efforts.
So what's behind the record-breaking numbers? Are we in the midst of a hardware refresh cycle? Has the storage market really rebounded? On the other hand, is it just a proverbial case of "nobody gets fired for buying IBM" (or any other tier 1 vendor)?
posted by: Kevin Komiega