Global Ethernet switch and router market post solid 7.8 pc growth in Q1, 2019
Framingham, US: The worldwide Ethernet switch market (Layer 2/3) recorded $6.8 billion in earnings in the Q1, 2019, a 7.8% increase over year (Y-o-Y). Meanwhile, the global total enterprise and service provider (SP) router marketplace earnings grew 8.2% Y-o-Y in Q1, 2019 to $3.6 billion. These growth rates are according to results published in the International Data Corporation (IDC) Quarterly Ethernet Switch Tracker and IDC Quarterly Router Tracker.
Ethernet Switch Market Highlights
From a geographical standpoint, the Q1, 2019 Ethernet switch market had a strong quarter throughout the globe. The Asia/Pacific (excluding Japan) (APeJ) region grew 8.6% Y-o-Y. Notable gains in the region comprised China, which climbed 11.7percent Y-o-Y and Taiwan, which raised 15.3%, while, Japan’s Ethernet switch market increased 1.3%.
The Middle East and Africa (MEA) region saw 9.5% growth Y-o-Y, led by Egypt, which increased 17.3%. Europe saw more modest expansion with Western Europe rising 3.5% and Central and Eastern Europe staying stagnant with 0.3percent Y-o-Y growth. Famous markets in Western Europe included the United Kingdom, which was down 1.2% from a year earlier, while Germany was up 2.3% and Italy grew 15.5percent Y-o-Y.
In Central and Eastern Europe, Russia fell 13.4% Y-o-Y. From the Americas, the United States grew 11.9% while Canada increased 2.6% Y-o-Y. Latin America was down 4.5% complete with Brazil’s 8.5% Y-o-Y decrease offset by 11.0% increase in Mexico.
“Organizations across the planet are seeking to digitally transform themselves in an effort to meet market and competitive needs and enhance user experiences. As they do this, enterprises are realizing the important role the network plays in their broader IT conversion initiatives,” said Rohit Mehra, VP — Network Infrastructure, IDC.
100Gb Ethernet switch earnings continue to grow rapidly. Port prices for 100Gb switches rose 85.3percent Y-o-Y to 3.6 million. 100Gb earnings grew 59.0% Y-o-Y in Q1, 2019 to $1.2 billion, making up 17.3% of their market’s revenue.
25Gb ports also saw impressive growth, increasing 133.3% to $304.0 million, with port shipments growing 104.8% Y-o-Y. 40Gb switches are still falling out of favor with revenues declining 21.3% Y-o-Y. Lower-speed campus switches, a more mature part of the marketplace, showed moderate expansion.
10Gb port shipments rose 8.6% Y-o-Y to constitute 28.7% of the market’s earnings. 1Gb switches grew 2.9percent Y-o-Y in port shipments, making up 40.3percent of the economy’s overall revenues.
Router Market Highlights
The worldwide enterprise and service provider router market grew 8.2% on a year-over-year basis in Q1, 2019 together with the major service provider segment, which accounts for 75.3% of earnings, increasing 7.1% and the business sector of the market rising 11.9%.
From a regional perspective, the joint service provider and enterprise router market increased 12.0percent in APeJ together with Ethernet all the enterprise section up 17.7 percent. Japan’s total market grew 27.1% Y-o-Y. Central and Eastern Europe regional revenues rose 19.7% Y-o-Y, while the Western Europe combined business and service provider market grew 3.7% Y-o-Y. In the U.S., the enterprise segment was up 15.7percent but the service supplier earnings fell 5.8%, inducing the entire market to decline 0.5% Y-o-Y. Canada’s market rose 28.5% Y-o-Y and also the Latin American marketplace grew 9.0%.