Skip to main content

Solid State Drive Revenue will Reach $33.6 Billion

Flash-based, solid-state storage demand has grown rapidly within the IT infrastructure sector, as more CIOs and CTOs adopt this technology. The outlook for the solid state drive (SSD) industry remains strong as units, revenue, and total capacity shipped are all expected to see robust growth.

According to the latest worldwide market study by International Data Corporation (IDC), SSD unit shipments will increase at a five-year compound annual growth rate (CAGR) of 15.1 percent. As a result, SSD vendor revenue is expected to reach $33.6 billion in 2021, growing at a CAGR of 14.8 percent.

SSD Storage Market Development

The key factors underlying the improved outlook for the SSD market are greater product availability and improved pricing dynamics as the industry transitions to 3D NAND Flash.

However, IDC believes the current NAND flash supply constraints will begin to diminish in 2018 and contribute to further price erosion in the overall SSD market.

In turn, lower SSD pricing beyond 2017 will drive greater SSD adoption in PCs and other client devices. IDC expects client SSD shipments into the PC and consumer electronics markets to see a 2016-2021 CAGR of 15.8 percent.

Meanwhile, enterprise demand for SSDs will remain strong throughout the forecast, as customers turn to flash-optimized systems for traditional storage needs as well as for server-attached solutions.

"SSDs continue on a path to become a more broadly used, ubiquitous storage technology across IT markets," said Jeff Janukowicz, vice president at IDC. "SSDs play an important role in making the digital transformation possible, a dynamic that IDC expects will continue to propel the adoption of SSDs and underpins the secular growth of the SSD market for both the client and enterprise segments."

In the client market, IDC expects higher SSD capacities at key price points to result in higher attach rates over time in new notebook and desktop PCs, as well as in detachable tablets or 2-in-1 tablets.

Outlook for SSD Adoption and Growth

Within the enterprise data center market, lower SSD prices -- on a per-gigabit basis -- will move SSD attach rates higher in servers, network storage arrays (all-flash arrays and hybrid flash arrays), and within hyperscale cloud service provider data centers.

In the commercial market, IDC expects to see increased adoption of SSDs in a variety of secondary markets and applications -- including the Internet of Things (IoT), where the high reliability, extreme flexibility in form factor and capacity, and operating ruggedness in harsh environments will prove to be beneficial.

Popular posts from this blog

How a Digital-First CEO Leads Transformation

Some leaders reject the notion that "wait and see" is the best response to disruptive change. Savvy senior executives are already driving digital business transformation throughout their organization in an effort to gain a bold strategic advantage. According to the latest market study by International Data Corp (IDC), Digital-First CEOs plan to drive at least half of their income from digital business products, services, and experiences by 2027 -- that's ahead of the market average of 39 percent. Driven by their response to the COVID-19 pandemic, these business leaders have changed how they think about the relationship between business and technology, and how they approach the next digital transformation era -- from scaling digital technology to guiding a viable digital business. Digital Business Market Development IDC defines digital business as value creation based on technology, which entails: 1) Automated customer-facing processes and internal operations; 2) Provision

Digital Solutions for Industrial & Manufacturing Firms

Executive leaders of fast-moving consumer goods (FMCG) are seeking guidance on how to apply new business technology in their manufacturing operations. CIOs and CTOs are tasked with gaining insight into the best solutions for digital transformation. ABI Research evaluated the impact politics, regulation, the economy, supply chain, ESG, and technology are having on FMCG, pharma, producers of steel, chemicals, pulp and paper -- as well as the mining and oil & gas sectors. Digital Transformation Market Development "Our assessment found that the FMCG sector is under pressure from all sides," says Michael Larner, industrial & manufacturing research director at ABI Research . Securing raw materials is challenging considering lockdowns in China and limited grain supplies from Ukraine. Supply shocks are raising input costs, and operating costs are rising with higher energy costs coupled with the pressure to pay higher wages and work sustainably. "We all hoped that with th

Retail Transformation Gains New Momentum

Forward-thinking retailers now have a bright future. In contrast, those that failed to enhance their business model via digital transformation have struggled, declined, and their assets were eventually liquidated. The key difference between these two business outcomes is applied strategic foresight. Even as the world continues to emerge from a global pandemic, retail is growing at levels not seen in the last two decades. Retail sales grew by 7 percent in 2020 and by over 14 percent in 2021, which is in stark contrast to the 3.7 percent annual growth between 2010 and 2019. The increased demand for retail has put a strain on supply chains and retail operations worldwide. As a result, retailers and stakeholders are turning to automation solutions such as mobile robotics for operational ease. Retail Transformation Market Development According to the latest market study by ABI Research, worldwide commercial robot revenue in retail stores will have a Compounded Annual Growth Rate (CAGR) of o