This pr was out late friday afternoon and corresponded with a closing flury of activity on DTLK (and probably others mentioned). Analyst sees strength in storage going into 2012.
"Analyst, Ben A. Reitzes, said, "We just concluded Day 2 of the Barclays Capital Global Technology Conference (12/8) in San Francisco, CA. Several key IT Hardware companies under coverage presented, including Lexmark (NYSE: LXK) (EW-rated), Xerox (NYSE: XRX) (OW-rated), 3D Systems (NYSE: DDD) (EW) and Ingram Micro (NYSE: IM) (EW-rated) as well as other key companies not under coverage including Xyratex (Nasdaq: XRTX), Dot Hill (Nasdaq: HILL), Intevac (Nasdaq: IVAC), Datalink (Nasdaq: DTLK), Fusion-io, Violin Memory, and Anobit."
"We continue to believe key areas of investment into 2012 will be in areas such as "Big Data", Cloud Computing and Storage. One of the emerging trends from our conference was the greater emphasis placed on a layer of NAND flash storage in the enterprise. Customers seem to be placing a greater emphasis on utilizing flash technologies given the need to access data quickly. For example, products from companies such as OCZ, Fusion-io, and Violin Memory continue to gain traction. Longer term, we believe that the use of Flash will see very strong growth given the need to manage "Big Data."
"Across the board, IT Hardware related companies on both Day 1 and Day 2 backed a relatively cautious tone heading into 2012 with uncertainty coming in particular from Europe and Government spending.
However, we believe that software and storage demand remain much stronger than the rest of hardware - like PC's and certain servers."