IDC: Purpose-Built Backup Appliance Market Declined in 3Q16

IDC: Purpose-Built Backup Appliance Market Declined in 3Q16

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Worldwide purpose-built backup appliance (PBBA) factory revenues were down 7.9% year over year, totaling $737.5 million in the third quarter of 2016 (3Q16), according to the IDC Worldwide Quarterly Purpose-Built Backup Appliance Tracker. Total PBBA open systems factory revenue decreased 7.2% year over year during the quarter with revenues of $686.1 million. Mainframe systems sales experienced a year-over-year decline of 17.1% in 3Q16. Total worldwide PBBA capacity shipped for 3Q16 totaled 920 petabytes, an increase of 12.1% from 3Q15.

"The PBBA market closed out the third quarter on a downturn, following a similar trend as the enterprise storage systems market," said Liz Conner, research manager, Storage Systems. "Spending in more mature geographies saw a decline, while the market saw favorable growth in emerging markets. Meanwhile the shift in spending away from commodity hardware continues, with PBBA software spending taking market share."

Dell Technologies maintained its lead in the overall PBBA market with 60.3% revenue share during the quarter, followed by Veritas with 15.2% share. IBM and HPE were statistically tied** for the third position with 5.7% and 4.8% market share, respectively. Quantum held the number 5 PBBA vendor position with a 2.5 % share of the worldwide market.

Top 5 Vendors, Worldwide PBBA Factory Revenue, Third Quarter of 2016 (Revenues in $ Millions)

Vendor

3Q16 Revenue

3Q16 Market Share

3Q15 Revenue

3Q15 Market Share

3Q16/3Q15 Growth

1. Dell Technologies

$444.9

60.3%

$522.9

65.3%

-14.9%

2. Symantec/Veritas*

$111.8

15.2%

$116.5

14.5%

-4.0%

3. IBM**

$41.8

5.7%

$29.4

3.7%

42.0%

3. HPE**

$35.2

4.8%

$40.4

5.0%

-12.9%

5. Quantum

$18.5

2.5%

$18.0

2.3%

2.8%

Others

$85.3

11.6%

$73.9

9.2%

15.5%

Total

$737.5

100.00%

$801.0

100.0%

-7.9%

Source: IDC Worldwide Purpose Built Backup Appliance Quarterly Tracker, December 15, 2016

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