Features - Enterprise Data Insights:

SAN MARKET REVENUES SLIP 3 PERCENT IN SECOND QUARTER

Dell'Oro Group, a trusted source for market information about the networking and telecommunications industries, announced that its recent report shows sales of storage area network (SAN) Fibre Channel (FC) switches and host bus adapters (HBAs) decreased 3 percent in the second quarter of 2004. Also according to the Dell'Oro Group report, the FC switch segment of the market was flat, while the HBA segment declined 7 percent for the quarter.

"In the FC switch segment, Cisco continues to gain traction in large enterprise accounts, posting a 20 percent revenue growth in the second quarter," said John Carvell, principal analyst for SAN research at Dell'Oro Group. "McDATA's FC switch revenues declined in 2Q04 in part because of softer demand for its current modular products in anticipation of the launch of its new Intrepid 10000 Director product."

During 2Q04, QLogic pulled ahead of Emulex in HBA port shipments and matched Emulex in HBA revenues for the first time. "It appears that QLogic has overcome its channel inventory realignment challenges, but Emulex is still grappling with this issue," said Carvell.