Sixty-Five Percent of Midsize European Enterprises Are Not Properly Prepared for Data Loss

Sunnyvale, Calif. - September 26, 2007 -- Network Appliance (NetApp), Inc. (NASDAQ: NTAP), a leading provider of storage and data management solutions, has conducted a pan-European survey into the way in which Midsize Enterprises deal with data storage and what challenges they are facing. The survey was conducted among 1,000 IT managers in eight different countries. The survey reveals that European organizations are not fully prepared for the possible loss of data, and the security of their data is therefore at risk. The survey produced some stark results, including:

  • More than half of European IT managers indicate that the need for data storage rose by more than 20% over the last year. The main reason for this is the increase in the flow of documents within organizations, particularly the government and commercial companies.
  • The biggest rise in the need for data storage over the last year was in Sweden, Germany, and Spain.
  • French organizations are the worst prepared for eventual data losses.
  • 85% take the environment into account when making purchasing decisions for information and communications technology (ICT) systems.

The pan-European survey was conducted in August by the independent research agency Redshift Research, established in the UK1.The survey covered 1,000 IT managers working for Midsize Enterprises in various branches of industry with between 100 and 1,000 employees in the UK, France, Germany, Italy, Spain, Switzerland, Sweden, and the Netherlands.

Sharp Rise in the Need for Data Storage
The survey shows that more than half the European IT managers saw a rise of more than 20% in storage capacity requirements over the last year. Only 1% encountered a drop in storage capacity. The biggest rise in the need for data storage over the last year was in Sweden, Germany, and Spain and in organizations with more than 500 employees. In government and healthcare particularly, the need for data storage capacity rose sharply in the past year. This increased requirement for storage capacity is mainly due to a sharp rise in the flow of documents, with countries like Sweden, Germany, and Switzerland in the lead. Two other major reasons for the increased need for storage capacity are the higher number of users and the increase in e-mail traffic.

65% of Organizations Are Not Properly Prepared for Eventual Data Losses
The survey further indicates that nearly two-thirds of organizations are not properly prepared for dealing with a possible loss of stored data. In fact, 5% of European organizations are actually not prepared at all, while 60% are taking steps to prepare for this or are improving the plans. The sectors of government, healthcare, financial services, and utilities are the least prepared for possible data losses. In Europe, France runs the greatest risk, with 12% of organizations insufficiently prepared. Most organizations have a backup and recovery strategy based on a combination of tape and disk. The greatest use of tape alone is seen in Germany and Switzerland, while disk alone for backups is seen mostly in Spain and the Netherlands. Governments are lagging behind in backup and recovery strategies because more than a quarter of them are still using only tapes.

Keeping Pace with the Latest Technological Developments Is a Challenge
Organizations encounter various challenges in managing storage capacity. The biggest challenge, particularly in France, Germany, and Italy, is keeping up with the latest developments in technology. Finding the right staff and development of a user-friendly infrastructure seem to be major factors too. When organizations get external help when building and managing their infrastructure, they mainly consult system integrators. These are certainly the main sources in Germany and the Netherlands. Sweden and Britain prefer to turn to their resellers, while Swiss and Italian organizations just bring in external consultants.

The Environment Plays an Important Role in ICT System Purchasing Decisions
85% of all respondents indicate that the environment influences their ICT systems purchasing decisions, and nearly one-third of these respondents even see the environment as a very important indicator. It is striking that Dutch and German organizations consider the environment relatively least often in their decision-making. Moreover, 38% of respondents think it very important that storage hardware should use less electric power and require less cooling. For the rest, Swiss and Swedish organizations consider this aspect the least important.

About Network Appliance
Network Appliance is a leading provider of innovative data management solutions that simplify the complexities of storing, managing, protecting, and retaining enterprise data. Market leaders around the world choose NetApp to help them reduce cost, minimize risk, and adapt to change. For solutions that deliver unmatched simplicity and value, visit us on the Web at www.netapp.com.

1 The full survey report can be requested from xdl-uspr@netapp.com.

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