Sales in external disk storage systems are falling worldwide, according to the International Data Corporation's (IDC's) latest report.
The South African market, on the other hand, is booming, says Werner Olivier, sales manager at First Distribution. Olivier sees "double-digit growth" in external disk storage sales year-on-year, with customer demand growing by between 10% and 30% each year.
Marc Pratt, sales manager at SYSDBA, disagrees, asserting the worldwide decline in external disk storage systems is reflected at a micro level in South Africa. Pratt reasons that customers are spending more carefully due to economic pressures experienced globally.
Customers are not so much spending frugally as exploring their options more carefully to find products that suit their specific needs, explains Brett Dunn, team lead for enterprise presales for telcos and service providers at EMC. "Data is growing exponentially, and it needs to be stored somewhere." Dunn asserts that the industry is not declining, so much as diversifying.
"In the past, people would try to use the same simple technology in multiple ways," he explains. "Now, technology is evolving and becoming more purpose-built."
Dunn notes existing storage solutions are being replaced with more software-defined technology. Delon Karrim, senior systems engineer at EMC, adds many customers have been satisfied in moving towards cloud storage solutions.
Olivier believes the quality and availability of broadband continues to limit cloud storage options in South Africa. Pratt adds that while cloud storage can be a viable option for small companies, big businesses struggle to find broadband to accommodate their needs.
Manufacturers of external disk storage systems saw revenue fall 5.2% year-on-year in the first quarter of 2014, according to the IDC. The industry's leading global vendors are EMC and NetApp, it adds.
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