How long does it take for companies to achieve these data reduction ratios?

This is another area where your mileage is really going to vary. I had a pretty extensive conversation about this with Network Appliance a while back...

Data deduplication information
CAS and data deduplication: Partners in archiving

In-band vs. out-of-band deduplication
This is another area where your mileage is really going to vary. I had a pretty extensive conversation about this with Network Appliance a while back. Assuming a 5% change in data from the previous week's full backup, we calculated that over 90 days you'll see a data reduction ratio of about 20X. It takes about 90 days to see any significant reduction.

In the short term, you might see a reduction of 2X or 3X over the course of the first month or so. But the longer you keep the data deduplication, that's when you start to see the larger numbers.

Check out the entire Data Deduplication FAQ.

This was first published in December 2007

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