The Roundup: Fire Sale Prices for Storage?

Aug 14, 2001

David Aponovich

"Fire Sale" Prices On Storage?
If your enterprise is looking to stock up on storage equipment on the cheap, now might be the time to buy.

Analysts from Forrester Research, the Cambridge, Mass., tech research firm, visited the headquarters of sector leader EMC, meeting with Executive Chairman Mike Ruettgers and other execs. Forrester's take-away: Storage vendors like EMC are pricing their equipment very aggressively in light of the current market slump.

Could it be vendor spin? Possibly. But with reports of sales of IT products slowing down, it stands to reason vendors are making deals to keep sales coming in. Forrester's advice: Now's the time for Global 3,500 firms to save money on new storage gear at good prices and stay ahead of the coming demand for CRM and supply-chain applications. Forrester's view is that today's CRM and supply-chain implementations will drive "huge storage demand" 12 to 36 months from now.

Slow Economy Drives Streaming Media Use
Cahners In-Stat Group says the slowing global economy is driving applications for streaming media onto corporate networks.

The Scottsdale, Ariz., tech research firm says as travel budgets are slashed, head counts are decreased and budgetary pressures take their toll, companies are turning to the Web for applications to communicate, train, motivate and retain workers (and customers). The firm projects that worldwide revenue from streaming media services will surpass $5 billion by 2005.

Companies have the choice of building their own steaming media services, but the fastest return on investment is obtained by using an outside steaming media service provider (who brings hosting infrastructure, digital asset management capabilities and other services), In-Stat says.

According to In-Stat, more than 21,000 corporate facilities will be online with streaming in 2001, growing to more than 225,000 sites paying fees for streaming media services in 2005. Hughes and other satellite providers are at the "top of the food chain" for providing streaming media and content delivery services to large and medium-sized business customers.

Facing WLAN Security Threats
Gartner Inc. has issued a security warning for CIOs in enterprises that plan on deploying wireless local area networks (WLANs).

According to Stamford, Conn.-based Gartner, by the end of 2002 about 30% of enterprises will suffer "serious security exposures" from deploying WLANs without implementing the proper security.

Gartner's advice to CIOs: Enact a WLAN security plan immediately, even if your enterprise won't be using them in the short-term.

More than half of enterprises have plans to buy and install WLANs. But Gartner believes at least 20% of enterprises already have "rogue" WLANs attached to their corporate networks. These are installed by users who want the convenience of wireless, but who are unwilling to wait for a proper rollout led by the IS organization to take the lead.


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