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Exabyte’s SMB-Class Tape Automation Products Become Fastest Selling in Company History

  • 15 September, 2005 13:35

<p>IDC Highlights Growing Trend toward Tape Automation for Small-to-Medium Businesses and Departmental Users Who Need Greater Capacity and Automated Data Protection</p>
<p>Sydney, Australia – September 15, 2005 -- Exabyte Corporation (OTCBB: EXBT), a leading innovator in tape backup, restore and archival systems, announced today that its two hallmark products in the small to medium business (SMB) class of tape automation – the VXA PacketLoader 1x10 and the Magnum 1x7 LTO AutoLoader – continue to outperform competitive products throughout worldwide distribution channels. According to Exabyte, the VXA PacketLoader 1x10 and the Magnum 1x7 LTO AutoLoader have become the two fastest-selling automation products in its 20-year history. The company attributes the products’ success in the SMB and departmental markets to designs that specifically meet the capacity, performance, and budget needs of small-and-medium businesses.</p>
<p>This fact is supported by IDC April 2005 report on low end automation which shows Exabyte as the only company that reported any substantial growth from 2003 to 2004. In this report, IDC explain that Exabyte grew market share from 5% in 2003 to 18% in 2004.</p>
<p>“Clearly there is a growing market for tape automation, and Exabyte is on target with its SMB-Class Tape Automation Line,” said Richard Giddey, Exabyte country manager ANZ. “As the research indicates, companies of all sizes need the capacity and performance benefits of tape automation, but until now many were unable to afford it. Since their release, our new automation products for SMBs and departmental users have averaged double-digit quarter-over-quarter growth, validating the strong market need. In fact, from the data Exabyte has gathered, both automation products are top sellers among the largest resellers in ANZ and world markets.”</p>
<p>Clear Market Need</p>
<p>To highlight this segment, Exabyte recently sponsored a white paper written by IDC, entitled “Providing Tape Automation to SMB and Departmental Markets.” The report discusses the rationale for SMB’s move toward tape automation for data protection and identifies a clear and growing need for new data-protection products aimed at SMB customers.</p>
<p>“Today, SMBs and departmental customers are currently using a variety of storage products for data-protection,” explained Graham Penn, Associate Vice President – Storage Asia Pacific for IDC. “However, these solutions do not address the customer need to safeguard their critical data due to difficulties in scaling for more capacity and overall cost-effectiveness for data-protection, backup and archive.”</p>
<p>Growth Varies in Tape Formats</p>
<p>In the midrange sector, which includes LTO, AIT3/4, SAIT and DLT/SDLT, market research firm IDC indicates that LTO increased its shipment volume by 35% on an annualised basis while the overall midrange market grew by only 2% (for more details, please refer to IDC research document, Worldwide Tape Drive, 2005-2009 Forecast and Analysis, #33478). The low-end tape drive market had mixed results. In this sector, which includes VXA, AIT-1/2, DDS/DAT, DLT VS and SLR, overall shipments contracted by 7% according to IDC. However, not all tape drive formats in this sector were adversely impacted. “In the low-end, VXA shipments far outpaced the overall market on a year-over-year comparison,” added Penn. “DDS/DAT experienced a sharper decline than the overall market, decreasing by 10%. By comparison, while absolute shipments of VXA drives were smaller than DDS/DAT drives, VXA shipments increased by 86%.”</p>
<p>Success Validates Trend</p>
<p>LTO and VXA emerge as the clear winners, in part, because these two formats are well suited for the rigors of automation. Further, Exabyte’s success with the VXA PacketLoader and the Magnum 1x7 with LTO technology confirms the growing market demand for tape automation.</p>
<p>“Increasingly, tape autoloaders are a viable and growing market segment,” reported Penn. “The use of tape autoloaders frees up critical resources making the backup process more reliable and automatic. In addition, tape automation allows customers to more easily manage and scale their ever-increasing data storage needs. Today, customers now have more cost-effective tape automation solutions to choose from than ever before.”</p>
<p>Exabyte Hits the Sweet Spot</p>
<p>Exabyte's new line of VXA and LTO autoloaders addresses the need for high-capacity, reliable tape solutions for about the same cost as a single tape drive. Exabyte, with a long history as an innovative tape automation supplier, is targeting this new group of customers that never had the resources to buy tape automation, but now can afford it for the first time.</p>
<p>Recognising the growing market trend toward automation, Exabyte has introduced break-through SMB-Class tape automation products ideal for small and medium-sized companies:</p>
<p>• Exabyte’s VXA-2 PacketLoader 1x10 (one drive, 10 slots) offers 1.6 TB capacity (compressed), 43 GB per hour transfer rate (compressed), 1u form factor, bar code reader, direct-attach SCSI, Ethernet port for remote management, and all the benefits of Exabyte’s award-winning VXA Packet Technology that reads and writes data in packets – similar to the Internet – providing far superior restore integrity, greater capacity, and fast transfer speeds – available for a estimated street price of less than $A2,000 including tax.</p>
<p>• Exabyte’s Magnum 1x7 LTO Autoloader (one drive, 7 slots) with LTO-2 offers 2.8 TB capacity (compressed), 187 GB per hour transfer rate (compressed), 2u form factor, bar code reader, direct-attach SCSI, Ethernet port for remote management, and the benefits of LTO™ (Ultrium™) technology– available for a estimated street price of less than $A7,000 including tax with LTO-2. (Capacity and speed double with LTO-3 for a street price below $A10,000 including tax.)</p>
<p>With its SMB-Class Automation Line, Exabyte, a 20-year innovator of tape technologies, is leading the way in the tape automation revolution. Through its innovative engineering approach and streamlined manufacturing processes, Exabyte is delivering easy-to-use, full-featured tape automation products to market with the best price-performance ratios in the industry, making automation affordable for the first time to businesses of any size. To view the complete IDC white paper, visit http://www.exabyte.com/idcreport. For more information on Exabyte products or to find a reseller in your area, contact Exabyte at 02 9929 9770.</p>
<p>About Exabyte Corporation</p>
<p>Exabyte Corporation (OTCBB: EXBT) is the leading innovator and provider of tape storage. For over 20 years, the company has been recognised for its innovative engineering approach and for consistently raising industry standards in technology, quality and data reliability for tape drives and tape automation. The Company’s products back up and restore critical business information in a manner consistently ahead of its competitors in terms of capacity, transfer speeds, and reliability at competitive prices. Exabyte has a worldwide network of OEMs, distributors and resellers that share the company's commitment to innovation and customer service, including IBM, Apple, Fujitsu Siemens Computers, Fujitsu Ltd., Imation, Tech Data, Ingram Micro, Insight, and CDW.</p>
<p>Data capacities and transfer rates assume a compression ratio of two-to-one. Actual compression will vary depending on the nature of the data and the drive and media quality. Exabyte and VXA are registered trademarks, and ExaBotics is a trademark of Exabyte Corp.</p>
<p>###</p>
<p>Media Contact:</p>
<p>Rob Stirling
Markom Marketing Pty Ltd
+61 2 9977 8922
rob_stirling@markom.com.au</p>
<p>Richard Giddey
Exabyte Corporation
+61 2 9929 9770
rgiddey@exabyte.com</p>

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