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STORAGE INSIDER: MARIO APICELLA                 http://www.infoworld.com
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Tuesday, September 14, 2004

ENTRY-LEVEL STORAGE MARKET HEATS UP

By Mario Apicella

Posted September 10, 2004 3:00 PM Pacific Time

If you thought IBM was running behind its competitors with storage
products for SMBs, think again. The latest announcements from Big Blue
target the entry-level segment, proposing two new TotalStorage arrays,
the DS300 with iSCSI (Internet SCSI) connectivity, and the DS400 with FC
(Fibre Channel).

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Both models have a similar 3U enclosure that mounts as many as 14
Ultra320 SCSI drives, and both include IBM ServeRAID Manager software.
However, there are differences beyond the connectivity distinctions
between iSCSI and FC. The DS300 can expand to only 2TB while adding two
more disk enclosures to its SCSI controllers; the DS400 gets close to
6TB of nominal space.

Both units have competitive starting prices. The DS300 starts at $3,000,
much less expensive than most other iSCSI arrays. Pricing for
TotalStorage DS400 starts at $5,000 for a two-controller version with
5TB of disk storage.

By comparison, Intransa, a relatively small vendor offering the IP 5000
line of iSCSI arrays, recently released an entry version, the IP 3000,
priced at $32,000 for a 2TB capacity.

LeftHand Networks, another longtime vendor of iSCSI arrays, recently
added the NSM (network storage module) 150 to its clustered storage
solution. The NSM 150 offers as much as 1TB of storage and a starting
price of $6,000.

Should we conclude that IBM offers the best iSCSI deal because of its
price/capacity ratio? Not necessarily. The temptation to use the
price/capacity metric to compare different units may be strong, but
storage arrays come in so many different sizes and forms that
comparisons are difficult.

Moreover, the software bundled or offered as an option on those arrays
makes things even more confusing for potential buyers, who may find it
difficult to define metrics for an all-inclusive comparison of different
products.

In addition, some features may carry a different value across the range
of SMB customers. For example, a fast-growing company will probably
define scalability quite differently than one that anticipates a more
predictable and contained business expansion.

However, the difficulty in making a fair comparison between storage
arrays doesn't make the offer from IBM less appealing for many SMB
customers.

It would be wrong to dismiss the DS300 as just another storage array for
SMB. It's important to remember that IBM is the first, first-tier vendor
to enter the SMB segment with an iSCSI array. In so doing, IBM extends
its price war with major rivals such as EMC and HP to that market
segment.

With the notable exception of Network Appliance, that area is
represented by small vendors such as EqualLogic, Intransa, or Left Hand
Networks, which could suffer from the competition.

With that in mind, IBM TotalStorage DS300 could motivate other vendors
in that area to review their iSCSI strategy and possibly to seek allies.
We are getting close to a cooler autumn, but the temperature in the
iSCSI market just got hotter. Stay tuned.

Mario Apicella is a senior analyst at the InfoWorld Test Center.




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