Computer Storage Technology - A Rapidly Transforming Field Dependent On Rising Global Information Processing And Storage Demands

Computer Storage Technology - A Rapidly Transforming Field Dependent On Rising Global Information Processing And Storage Demands

The computer storage industry produces tape, optical, and magnetic storage and retrieval equipment for computer devices. These equipment range from the typical desktop computer floppy and hard disk drives to independent storage administration systems such as complex tape library and autoloader systems used in major enterprise networks.

Demand for more storage capacity and productivity has risen quickly, as microprocessors have developed faster, software applications have become more resource intensive, and network computing has become more of a standard. Attempts to harness processing power and offer users additional features have made the standard new software application necessitate vastly increased storage space than prior versions. On personal computers, storage needs have further grew and multiplied because of expanding multimedia features and content, for example DVD movies and downloadable music on the Internet. Meanwhile, corporate systems have been required to manage expanding storage and processing demands from internal users, as well as from the Internet.

Cargo values for computer storage devices and equipment like tape libraries, which totaled $9.0 billion in 2000, decreased to $8.2 billion in 2001. At that time, about 66 companies competed in the domestic market. Notwithstanding the multiple forces revitalizing demand for storage devices, the industry, like other computer hardware sectors, has been hurt by fierce price competition. Such pressures have encouraged significant consolidation inside the industry and have led to cost controlling at several storage device manufacturers. In addition to increased price competition, the market for storage devices was at the mercy of a weak economic climate in the early 2000s. This presented challenges across virtually every product group in the computer industry, as manufacturers faced lowered spending and determination levels in both the consumer and corporate sectors.

The computer storage industry continued to meet both problems and opportunities associated with storage outsourcing services, or storage service providers, or SSPs, at the beginning of 2000s. These web-based services offer storage space and management applications that clients can simply connect to and use, permitting companies to avoid investing in and running storage hardware and software themselves. In the early 2000s, the nascent SSP field was modifying how storage devices are used and marketed. It also presented an opportunity for storage equipment manufacturers to branch into services. By 2001 telecommunication giants like World Com and AT&T were involved in this sector. Across the world, IDC, a consulting service in technology intelligence and industry forecasts, forecast spending on SSPs to rise from $150 million in 2000 to $10.5 billion in 2005, according to Computing Canada. This growth reflected a compound annual growth rate of nearly 134 percent.

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