According to a recent report by Dell’Oro Group, the trusted source for information about the telecommunications and networking industries, the Layer 2-3 Ethernet Switch market continued to exceed $5 billion, reaching a new record level in the third quarter 2013. This record was achieved despite mid-single-digit year-over-year declines in Asia Pacific and Latin America.
“Aside from the record quarter and the anticipated record year for switching in 2013, there are several large headwinds developing that will make it challenging for the market to grow significantly in 2014,” said Alan Weckel, Vice President of Ethernet Switch market research at Dell’Oro Group. “One important issue is a change China and how vendors compete there. Outside of multinationals moving into the region, for the foreseeable future China is no longer a market that US-based vendors can compete in effectively. While this situation does not impact our port projections, we anticipate that the lack of US-based vendors in many of the larger RFPs will have a negative impact on the region’s Average Selling Prices,” stated Weckel.
The Report also shows that 10G Base-T port shipments were the strongest area of growth within 10 Gigabit Ethernet. Even though vendors increased their offerings, only three manufacturers that we break out in the Report exceeded ten thousand 10G Base-T port shipments in the quarter.
The Dell’Oro Group Ethernet Switch Quarterly Report offers a complete overview of the Ethernet Switch industry with tables covering manufacturers’ revenue, average selling prices, and port/unit shipments (by speed Fast Ethernet, Gigabit Ethernet, 10 Gigabit Ethernet, 40 Gigabit Ethernet, 100 Gigabit Ethernet) for Layers 2-3 (both managed and unmanaged). To purchase this report, please contact Julie Learmond-Criqui, call +1.650.622.9400 x222 or email Julie@DellOro.com to purchase.
As the trusted source for market information about the networking and telecommunications industries, Dell’Oro Group provides in-depth, objective research and analysis that enable component manufacturers, equipment vendors, and investment firms to make fact-based, strategic decisions. For more information, visit www.DellOro.com.