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What’s Ahead for the Global Distributed Storage Area Network Services Market

    Online News published in DMReview.com
December 10, 2001

Revenues for the global distributed storage area network services market will soar to $19.3 billion over the next four years, from just $500 million in 2000, as companies look to optical telecommunication carriers to support remote storage for data-intensive projects, a report says. Data-intensive projects driving the remote storage market include disaster recovery, Web hosting and data warehousing, says the report from global telecom research firm Analysis Research plc, Cambridge, England.

Emerging storage area networks, or SANs, will lead to the creation of huge virtual storage and data management systems resulting in increased revenues for optical telecommunication providers, reports Analysis in "Storage Area Networks: New Revenues for Optical Carriers?" SANs connect storage devices over wide area networks using gigabit ethernet, asynchronous transfer mode and Internet protocol.

The move to IP for remote storage networks will be particularly appealing to carriers because it will eliminate the need for separate storage and data networks, the report says, adding that IP-based storage networks will also improve storage management flexibility and allow third-party players to offer storage services across the WAN. "By using their high-capacity IP optical networks, telecom carriers, particularly those operating in the metropolitan and wide area networks, can potentially generate significant new traffic and service revenues for themselves," noted report author Tim Hills.

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