China Surged in 2H 2019, Despite Macroeconomic Headwinds

REDWOOD CITY, Calif. – March 17, 2020 – According to a recent report by Dell’Oro Group, the trusted source for information about the telecommunications, networks, and data center IT industries, the worldwide Campus Switch market grew 3 percent for full-year 2019 but decelerated significantly in the second half. Most of the softness was driven by North America and Europe, while revenue in China grew at a double-digit rate in 2H 2019.

“The Cisco’s Catalyst 9K refresh cycle, combined with an accelerated adoption of the higher-priced NBase-T switches, boosted campus switch revenue growth in 1H 2019,” said Sameh Boujelbene, Senior Director at Dell’Oro Group. “However, macroeconomic uncertainty, together with a moderation in the Catalyst 9K ramp, put downward pressure on the market that has started in 3Q 2019 and persisted through the end of the year. In the meantime, we were really surprised by the robust growth in China despite macro headwinds in the region. Part of this growth was reflective of ongoing government projects as well as inventory buildup at some distribution channels,” added Boujelbene.

Following are additional highlights from the 4Q 2019 Ethernet Switch – Campus Quarterly Report:

  • Cisco, H3C, and Huawei were the only top 5 vendors that recorded year-over-year revenue growth for the full year 2019.
  • NBase-T port shipments more than doubled in 2019, albeit driven mostly by Cisco.

About the Report

The Dell’Oro Group Ethernet Switch – Campus Quarterly Report offers a detailed view of Ethernet switches built and optimized for deployment outside the data center, for the purpose of connecting users and things to the Local Area Networks. The report contains in-depth market and vendor-level information on manufacturers’ revenue, ports shipped and average selling prices for both Modular and Fixed, and Fixed Managed and Unmanaged Ethernet Switches (100, 1000 Mbps, 2.5, 5, 10, 25, 40, 50, 100, 200, and 400 Gbps), plus regional breakouts. To purchase these reports, please contact us by email at dgsales@delloro.com.

About Dell’Oro Group

Dell’Oro Group is a market research firm that specializes in strategic competitive analysis in the telecommunications, networks, and data center IT markets.  Our firm provides in-depth quantitative data and qualitative analysis to facilitate critical, fact-based business decisions.  For more information, contact Dell’Oro Group at +1.650.622.9400 or visit www.delloro.com.

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