Terror fears spark storage technology spending boom

Terror fears spark storage technology spending boom

A new survey by RBC Capital Markets and the Computing Technology Industry Association (CompTia) reveals that the protection of data through the use of system area networks (SANs) has become a key priority for US corporations in the wake of the 11 September terrorist attacks on America.

The survey interviewed 73 vendors providing SAN services to corporations in the United States. Results show approximately half of companies with over $1 billion in revenue to have deployed a SAN to protect and store data, in 2001. This compares to a 2000 survey that found only 16.2 per cent of large companies had deployed a SAN.

The study suggests small to mid-tier companies are also quickly moving to embrace the technology.

SANs allow companies to store key data in secure off-site facilities. Robert Montague, research analyst for RBC Capital Markets, says: "The September 11th terrorist attacks woke up a lot of companies to this issue...The result is that this area is one of the hottest sectors of technology. We are seeing even small and mid-tier companies employing SANs to protect vital corporate information."

He believes that there is a significant opportunity for companies with the foresight to develop products and services that meet the needs of the small and mid-tier level segment.

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