EMC's consolidated revenue grew 8% in Q4, with EMEA up 11%, stated the firm in its latest financial report. In 2013 EMC expects IT spend to grow at 3% for the year while and forecasts its own revenue to grow faster, at 8%, to $23.5bn. "We saw Europe have more predictability and good growth," said CEO Joe Tucci (pictured).
The top IT spending priorities will be in the areas of mobility, private cloud computing, public cloud computing, big data, predictive analytics and security and we believe that customers will continue to demand proven and timely ROIs that enhance innovation and productivity.
"Network storage still grew faster than IT spending in 2012, and we're confident it will again in 2013," stated David Goulden, President and COO. Network storage product revenue growth accelerated from Q3, and was also up 6% year on year, with growth pretty balanced between the high end and the mid-tier.
"Energy from the acquisition of Isilon continues to contribute to our growth in storage. Isilon's traditional strengths in life sciences and media and entertainment are broadening EMC's customer base and EMC's traditional install base is adopting the scale out power solution Isilon offers. This is evident looking at how Isilon's customer base has changed."
Two years ago, more than half of Isilon's revenue came from media and entertainment and life sciences. Today, these verticals are still rapidly growing but now account for little over one-third of Isilon's revenue. At the same time, verticals that were practically brand new to Isilon upon acquisition such as financial services are becoming more meaningful markets.
"Our channel program caps off a year of excellent progress, making working with EMC simpler, more predictable and more profitable for our channel partners," added Goulden. "Over half our storage revenue goes through our channel partners and our focus is on making these partners more productive. Customers cannot take advantage of hybrid cloud without service providers that can offer reliable, enterprise-class external cloud services.
"As a result, we continue to expand our service provider partner program with 60 premier service provider partners in our program today who offer over 325 cloud surges powered by EMC infrastructure. Our focus here is bearing fruit as revenue from these service provider partners accelerated in the quarter, up over 70% from Q4 last year."
'The biggest bugbear for a PE house is an 80 page document that is impossible to decipher and doesn't contain the relevant information.'
Ashley Broomberg, Partner at Mobeus Equity Partners