“It is encouraging to see the robust sales performance being broad-based across all major regions, and customer segments: Cloud Service Providers (SPs), Telco SPs, and Large Enterprises,” said Sameh Boujelbene, Senior Research Director at Dell’Oro Group.
“Amazon and Microsoft increased their server deployments compared to the prior quarter, which in turn lifted the Smart NIC market,” said Baron Fung, Research Director at Dell’Oro Group. “These two Cloud service providers, which commands more than 80 percent of the Smart NIC market by revenue, have scaled their internally developed Smart NICs with their Cloud server deployments.
“Fiber buildouts for residential, business, and mobile transport applications show no signs of slowing,” noted Jeff Heynen, Vice President, Broadband Access and Home Networking at Dell’Oro Group. “Despite supply chain constraints and increased costs, operators continue to prioritize spending on their broadband access networks,” explained Heynen.
“Demand for SD-WAN solutions was robust in the first half of the year, sustaining the momentum we saw at the backend of last year,” said Shin Umeda, Vice President at Dell’Oro Group. “The SD-WAN market continues to expand globally, and while all regions posted solid double-digit growth, uptake in Europe and Asia was especially strong,” added Umeda.
“Although a favorable comparison with the year-ago period may have played a role in this rebound, it is very encouraging to see a broad-based growth across all major regions; enterprises of all sizes (from large to small); and nearly all industry verticals, including those that have been hit hard by the pandemic such the hospitality sector,” said Sameh Boujelbene, Senior Director at Dell’Oro Group.