Consolidation in the storage market gives Tegile a winning hand

There are major developments in the market for mid-range and high-end storage arrays.  For instance, think of the merger of Dell and EMC, and Western Digital’s recent purchase of SanDisk.

When it comes to serving companies, consolidation in the storage market gives Tegile a winning hand.  If you are in the market for a storage solution, now is a good time to consider Tegile.

What’s going on?  Dell bought EMC

In the enterprise IT industry, we’ve hardly ever seen a merger of this scale.  Dell’s recent acquisition of EMC made me think of HP’s purchase of Compaq in 2001, and Oracle’s purchase of Sun Microsystems in 2009.  But Sun and Compaq together are smaller than the deal at hand for Dell.

There is a lot to say about Dell’s purchase of EMC, but first let’s address some risks:
Portfolio overlap.  In their portfolio, Dell and EMC together have 11 storage systems, plus 9 nine backup solutions.  At a minimum there is overlap.  Which product development and support will be continued? Which products will be discontinued?

Omphaloskepsis or navel-gazing is an ancient Greek meditation method.  However, for Dell and EMC, the risk of omphaloskepsis is too much focus on the internal affairs of each company. This is a big merger which requires a lot of energy and attention from employees and management. Likely, this internal focus will come at the cost of customer focus and innovation.

Talent walking (or running) away
Merging EMC with Dell brings a lot of uncertainty, and probably layoffs. The best and most talented employees at EMC especially will consider a career move, maybe even a move to Tegile.  This is especially so with EMC employees who are typically very proud of their employer and tend to look down on PC producers. Dell and EMC will likely lose a lot of human capital to the competition.

Western Digital bought SanDisk

The consolidation in the market of disk and flash producers has happened for a long time.  Consider these example:

  • Fusion-IO was bought by SanDisk
  • Samsung sold its disk division to Seagate
  • Hitachi sold its disk division to Western Digital

The latest major consolidation was Western Digital’s purchase of SanDisk.  This is very interesting and relevant for Tegile.  Why, you might ask?  Western Digital and SanDisk are both major investors in Tegile:  Western Digital invested $35 million dollars and SanDisk invested $75 million dollars in Tegile.

Tegile announced a

high-density flash enclosure with SanDisk.  Tegile became the first vendor who offers 512 TB of flash capacity, fitting in only 3 rack units. Customers can fit 10 petabytes of usable capacity within 1 rack with this solution from Tegile and SanDisk.

With Western Digital and SanDisk as important shareholders, Tegile is well positioned to serve customers.  The combination of Western Digital with SanDisk means that Tegile will be the first to benefit from innovations and new technology.

Gartner – two Magic Quadrants

Tegile is the only storage vendor identified as a “Visionary” in two Magic Quadrants of Gartner:

1. Solid-State Arrays
2. General-Purpose Disk Arrays

If you are in the market for a storage solution, consider Tegile
Tegile is the only storage solution that offers an all-flash array and allows you to adjust disks in a later stage.  Further, Tegile is the only new kid on the storage block who offers a unified solution of one flash platform for any workload.  Unified storage systems are also known as multi-protocol or SAN/NAS. Tegile supports block-based protocols, such as FC in iSCSI, but also file-based protocols as CIFS, NFS in SMB 3.0.

When it comes to consolidation in the storage market, Tegile has a winning hand. In fact, voters recently selected Tegile as Storage Company of the Year. If you are in the market for a storage solution, now is a good time to consider Tegile.  Contact us for a demo and see for yourself.

* To read this blogpost in Dutch, click here.

* Tegile thanks Bert van der Lingen of Exclusive Networks for contributing this blogpost


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