REDWOOD CITY, Calif. – February 26, 2015 –According to a newly published report by Dell’Oro Group, the trusted source for market information about the networking and telecommunications industries, the worldwide Service Provider Router market achieved record revenues in 2014, reaching almost $10 B during the period.
“Market growth continued to come from routers deployed in the Service Provider Edge. Routers used in mobile backhaul, especially for LTE networks, remained one of the primary drivers of revenue as service providers, especially in China, performed significant upgrades to their networks. In order to make room for mobile backhaul investments in their Capex budgets, some service providers have cut back investments in routers used for fixed broadband networks,” said Alam Tamboli, Senior Analyst at Dell’Oro Group. “In 2014 service provider routers had a record year in North America, which accounted for almost 40% of the worldwide market. As operators in the region scale back Capex in the coming year, either due to completing their mobile backhaul networks, investing in NFV or SDN technologies, or in other cost-cutting initiatives, we may see a regional mix shift in 2015,” added Tamboli.
Cisco Systems, Alcatel-Lucent, Juniper Networks, and Huawei Technologies were the market share leaders in the Service Provider Router market segment, accounting for over 93 percent of 2014 revenue. Cisco maintained its leadership position, while Alcatel-Lucent took second place ranking. Juniper and Huawei were third and fourth-ranked vendors, respectively.
The Dell’Oro Group Routers Quarterly Report offers complete, in-depth coverage of the Service Provider Core, Edge, and Enterprise Router markets for current and historical time periods. The report includes qualitative analysis and detailed statistics for vendor market shares, revenue, average selling prices, and unit and port shipments. To purchase this report, please call Julie Learmond-Criqui at +1.650.622.9400 x244 or email Julie@DellOro.com
As the trusted source for market information about the networking and telecommunications industries, Dell’Oro Group provides in-depth, objective research and analysis that enables component manufacturers, equipment vendors, and investment firms to make fact-based, strategic decisions. For more information, contact Dell’Oro Group at +1.650.622.9400 or visit www.delloro.com.