Thursday, June 3, 2010

Fibre Channel switch market segments post mixed results in Q1

REDWOOD CITY, USA: A recently published report by Dell'Oro Group indicates that the main segments of the Fibre Channel Storage Area Networking market posted mixed sequential results in the first quarter of this year with increased Fibre Channel switch revenues and lower Fibre Channel Host Bus Adapter (HBA) revenues.

According to the report, a mix shift to more expensive director-class, or modular switches, was a key driver of the switch revenue increase.

"The strong Fibre Channel switch results were surprising for a couple of reasons," said Seamus Crehan, Vice President of Dell'Oro Group.

"First, the market showed stellar results in the fourth quarter of 2009, and we did not anticipate this continuing into the first quarter. Second, the first quarter of the year tends to experience some seasonal softness. Despite these factors, the switch market increased more than 20 percent over the first quarter of 2009," added Crehan.

The report indicates that despite the strong pull-back in HBA sales during the first quarter of this year, 2010 revenues are expected to post robust growth.

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