Storage specialist Tandberg Data has signed up DTS as its new Australian distributor in a move that brings the industry's two DLT vendors under the same roof.
David Davoren, DTS' general manager and director, said Tandberg Data received the appointment based on its success with Quantum's DLT (Digital Linear Tape) product range.
However, the DLT business faces some significant challenges as it seeks to firmly establish itself in the local market.
DTS currently sells around 4000 DLT drives per month at an average of $7000 each, Davoren said.
But despite the healthy sales, he concedes "it's going to take a little while" before the product meets its market potential.
Davoren explained DLT's success has been hampered by an industry perception that all the units are produced by Compaq or Digital.
Until recently, Quantum has actually been the only manufacturer, he said.
"Tandberg Data is the only other company Quantum has licensed to make DLT," Davoren said.
DTS is still looking for qualified resellers to sell DLT solutions, with Davoren reporting margins hovering between 13 and 16 per cent.
Kim Nielsen, Tandberg Data's Australian/New Zealand country manager, told ARN the company is looking to expand its local channel with the appointment of DTS.