Following on heels of buoyant sales exceeding expectations, storage systems and chip maker LSI Corp. has raised its first quarter profit expectations.

The current forecast now stands at expected revenue of $620 million to $ 640 million, higher than the previously predicted range of $590 million to $620 million. However, fifteen analysts polled by Thomas Reuters put that figure at $607 million.

With recession restricting spending at all economic concerns, businesses have majorly elected to make do with the technology at hand and push replacing old with the new for as far as they can. However, that is only postponing the inevitable and they have to cough up for new technology at some point, which is a factor responsible for the current surge in sales at both software and hardware firms.

According to Abhi Talwalkar, President and CEO of the Milpitas, California based company, "Our revised guidance reflects greater-than-anticipated strength in the recovery of enterprise IT spending during the first quarter. As the majority of our revenues are tied to enterprise purchases of servers, data storage and networking infrastructure, we experienced strength across all product areas that exceeded our previous guidance".