Posted on Friday, June 29th, 2007 at 5:51 pm
Enterprise data storage hardware spending saw an unusually sharp first calendar quarter decline. This, along with a Citigroup report that shows chief information officers’ reluctance to spend on high-end storage systems suggests a larger downturn in IT spending may lie ahead.
Analysts are mixed on the verdict, saying the first calendar quarter of the year typically yields lower earnings results, but others say this could be the beginning of an IT spending shift within storage as customers spend more of their budgets on software, services and cheaper storage hardware.
