The spending from the telecommunications vertical is driving India's external storage market that witnessed a growth of 13.8 percent year-on-year (YoY) and stood at $74.6 million (roughly Rs. 483 crores) in the first quarter this year, International Data Corporation (IDC) said on Thursday.
While banking, telecom, professional services, manufacturing and government continued to be the key contributors, multimillion-dollar deals in telecommunications vertical drove the growth, IDC said in a statement.
IDC forecast the external enterprise storage systems market to register single-digit growth in terms of compound annual growth rate (CAGR) for the 2016-21 period.
"External storage is getting very dynamic in addressing new age demands from emerging technologies such as real-time business analytics, Internet of Things, augmented reality and robotics," said Dileep Nadimpalli, Associate Research Manager, Enterprise Infrastructure, IDC.
The high-end storage segment witnessed a strong YoY growth in the first quarter and entry-level storage saw a marginal growth while mid-level external storage saw a marginal YoY decline in market share during the quarter.
"Implementation of GST is expected to have a negative impact on enterprise IT for the next two quarters. In this challenging environment, taking a solutions-centric approach with the right technology partnerships will help suppliers stay ahead in their game," added Sharyathi Nagesh, Senior Research Manager, Enterprise Infrastructure.