Comdisco Jumps Into Storage Services - InformationWeek
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11/20/2000
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Comdisco Jumps Into Storage Services

E-business success can be a double-edged sword for companies unprepared to manage increased demands for data storage and access. Seeing an opportunity to leverage its experience as a business-continuity and systems-availability service firm, Comdisco Inc. on Monday joined the growing list of storage-service companies that enable companies to outsource the management of E-business data.

Storage service companies have taken a variety of forms, from hardware makers searching for new revenue to E-service firms acting as aggregators of storage-hardware, -software, and -systems management. Comdisco's approach combines the hosting facilities and experience of hardware storage service firms such as IBM Global Services and Compaq with the distributed management of storage E-service providers such as StorageNetworks Inc. and Storability Inc.

Comdisco differs from IBM and Compaq because it has no allegiance to a hardware or storage platform. And it's different than E-service firms because it sells database, network, and application-hosting services in addition to storage and storage management.

Research firms Gartner Group and International Data Corp. project the storage-service market will reach $8 billion by 2003 as companies find that data hosting demands are exceeding their capabilities to host that data themselves. Comdisco's move is logical, says Adam Couture, a Gartner analyst. "Comdisco's been in the business of managing data and data storage equipment for 25 years, whereas much of their competition hasn't been in business even a year."

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