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EMC extends storage software revenue lead for 7th consecutive quarter

  • United Arab Emirates: Monday, October 03 - 2005 at 11:33
  • PRESS RELEASE

The Middle East operations of EMC Corporation, the world leader in information storage and management, announced that the company has extended its storage software revenue lead for the seventh consecutive quarter in the second quarter of 2005, according to a recently-released report by IDC [a].

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  • Mohammed Amin, Regional Manager of EMC Middle East
    Mohammed Amin, Regional Manager of EMC Middle East
#1 EMC had 30.6% revenue share in the second quarter, widening its storage software lead to more than 10 share points and growing revenue nearly twice as fast as the closest competitor on a year-over-year basis.

"EMC's storage software is the glue that enables our customers, including the Middle East's leading organizations, to reduce the cost and complexity associated with managing their often heterogeneous information management infrastructure. Software sits at the heart of EMC's information lifecycle management (ILM) strategy, which is allowing regional businesses to manage their data cost-effectively from creation through to disposal," said Mohammed Amin, regional manager of EMC Middle East.

"Information Replication, Backup, and Archive software segments are among the fastest-growing segments of the market and where EMC Middle East anticipates the most growth in the next twelve months. EMC's portfolio of information protection products continues to help our Middle East-based customers meet a wider range of recovery point and recovery time objectives," he added.

Second Quarter Highlights

IDC reported that EMC grew its storage software revenue 13.1% in the second quarter. EMC continued to be #1 in the Storage Resource Management (SRM) and Replication software segments. In the Backup and Archive software segment, EMC gained 1.2 share points and outpaced the overall growth of the market. EMC closed the gap on the segment leader for the third consecutive quarter in the Backup and Archive segment, with the fastest revenue growth among the top four vendors.

According to IDC, #1 EMC extended its lead in the SRM software segment to 49.9% revenue share, more than four times the share of its closest competitor. #1 EMC grew Replication software revenues 31.6% in the quarter to extend its lead to 40.6% revenue share, more than 2.5 times the share of its closest competitor. EMC grew its Backup and Archive revenues 19.7%, more than twice as fast as the overall market, to 13.6% revenue share.

Information lifecycle management (ILM) is driven in large part by software-enabled intelligence in the information infrastructure. EMC's software offering includes a wide range of products to address customers' most pressing needs for consolidation, business continuity, recovery and archive, compliance, content management, virtualization, resource management and data protection.

In addition to its leadership in the software sector, EMC Corporation also extended its market share position in worldwide revenue for External Disk Storage systems for the eighth consecutive quarter in the second fiscal quarter of 2005, according to another recent report from IDC [b]. In the second quarter, EMC again maintained revenue leadership in every major segment of the external disk storage systems market including External RAID, Networked Storage, Open/iSCSI SAN (storage area network) and NAS (network attached storage). In NAS, #1 EMC widened its lead over #2 Network Appliance to five percentage points in the second quarter, growing its quarterly revenue share to more than 40%.
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Notes and media contacts

About EMC

EMC Corporation (NYSE: EMC) is the world leader in products, services and solutions for information storage and management that help organizations extract the maximum value from their information, at the lowest total cost, across every point in the information lifecycle.

EMC is a registered trademark of EMC Corporation. Other trademarks are the property of their respective owners.

[a] Source: IDC's Worldwide Quarterly Storage Software Tracker Q2 2005; all comparisons included in this release are year over year unless noted.

[b] Source: IDC "Worldwide Quarterly Disk Storage Systems Tracker, September 2005"; EMC share includes factory revenue from "EMC" branded storage systems only and excludes sales of co-branded EMC systems sold by Dell; All comparisons included in this release are year over year unless noted.

This release contains "forward-looking statements" as defined under the Federal Securities Laws. Actual results could differ materially from those projected in the forward-looking statements as a result of certain risk factors, including but not limited to: (i) adverse changes in general economic or market conditions; (ii) delays or reductions in information technology spending; (iii) risks associated with acquisitions and investments, including the challenges and costs of integration, restructuring and achieving anticipated synergies; (iv) competitive factors, including but not limited to pricing pressures and new product introductions; (v) the relative and varying rates of product price and component cost declines and the volume and mixture of product and services revenues; (vi) component and product quality and availability; (vii) the transition to new products, the uncertainty of customer acceptance of new product offerings and rapid technological and market change; (viii) insufficient, excess or obsolete inventory; (ix) war or acts of terrorism; (x) the ability to attract and retain highly qualified employees; (xi) fluctuating currency exchange rates; and (xii) other one-time events and other important factors disclosed previously and from time to time in EMC's filings with the U.S. Securities and Exchange Commission. EMC disclaims any obligation to update any such forward-looking statements after the date of this release.

WMC FZ - LLC
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Dubai, United Arab Emirates
Tel: +971 4 390 1950
Fax: +971 4 367 2801

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