"I know there are issues with [IBM's] Tivoli Storage Manager where it doesn't recognize every virtual tape library interface presented to it. And Veritas [now Symantec] wants to license by every virtual tape drives it sees. I know NetBackup is licensed by the tape drive. So, what do you do if you have 256 drives? Do you license all 256 drives?" asked Wendt, who asked that his firm not be identified.

Asaro said another issue is backup software that's not able to push backups out of the backend of virtual tape libraries to tape drives. Asaro also recognized the issues around software licensing. "There are issues, but each one of these [vendors is] working at changing their licensing models," Asaro said.

Scheib said he hasn't run into any issues with his Data Domain technology and he plans on removing more of his dependency on tape.

"Our tape drives are still there, but we're moving toward doing a weekly tape backup or even a monthly backup, but we'll keep all incremental backups on our Data Domains," he said.