By Telecom
Lead Team: Fiber Channel (FC) switch and adapter revenues are forecast to rise
to $2.8 billion in 2016 at a compounded annual growth rate (CAGR) of
about 3 percent.

 

Virtualization
and cloud initiatives have driven tremendous growth in the datacenter,
providing new and exciting opportunities in storage,” said Casey
Quillin, analyst at Dell’Oro Group.

 

The research
company said that in order to benefit from the inherent flexibility provided by
the ‘provisioning on demand’ feature of server virtualization, the storage
available to these virtual servers needs to be flexible and able to scale. SAN
storage virtualization has the potential to address these concerns and we
expect FC to realize a boost from this trend. 

 

Cloud storage
is generating interest as enterprises seek to realize the cost savings provided
by outsourcing some of their storage needs to the Cloud.

 

This
increasing demand is requiring cloud storage service providers to grow their
storage infrastructure on a massive scale and we predict this to have a
positive impact on FC growth as well.

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