CA unhappy with its storage business

Computer Associates are officially unhappy with its storage business.


Computer Associates are officially unhappy with its storage business.

Storage management as one of the company's four main business pillars, but the company is "not satisfied" with its storage sales growth the chief exec John Swainson said when announcing the company's most recent results.

In particular, Swainson blamed CA's indirect sales channel which the company is already taking steps to revise and rebuild, after bringing in new management last year.

However, he said he is optimistic that the storage business will turn around, possibly this year. He pointed to a string of purchases designed to fill in the spaces in CA's storage offerings, the most recent of which was the July purchase of continuous data protection technology vendor XOsoft.

CA's not the only one struggling with its storage business. Rival Symantec recently announced poor third-quarter fiscal results in the sector.

CA's troubled past continues to bubble up to the surface. Two more former executives were recently sentenced in federal court in New York, for their roles in a massive securities fraud which took place at the company several years ago. Earlier this week, district court Judge Leo Glasser sentenced David Kaplan, CA's former senior vice president of finance and administration, to six months of home detention. Last week, the same judge sentenced Ira Zar, CA's former CFO, to seven months in prison and seven months of home detention.

In November, Judge Glasser sentenced CA's former CEO Sanjay Kumar to 12 years in prison and an $8 million fine, while co-defendant Stephen Richards, the ex-head of worldwide sales at CA, later received a seven-year jail term.

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