The storage market has been hot for some time with statistics and predictions about mind-bendingly huge amounts of data that are being stored and about fears that storage media won’t be able to keep up with the huge demand. But it looks like with a slowing economy and the banking/mortgage muddle that even the storage market are starting to feel some of the pain.
A financial report by R.W. Baird analysts say that in the second quarter that the storage market in the US slowed and plateaued in Europe and Asia. IT budgets across the US, starting first in the NorthEast and Detroit and then spreading into the West Coast and in the Midwest have been frozen. The prediction is that the storage market will continue to worsen in Q3 and possibly start coming back in Q4.
The slowdown is hitting some vendors like EMC because of their exposure to large enterprises and the financial sector which has been hit hardest in the slowdown. Sales that are being made are still coming from activities like disaster recovery and business continuity and Web 2.0 companies that are adding significant amounts of unstructured data.
