Data center network equipment market poised for 67% growth in 2010
BOSTON, Massachusetts, December 21, 2010-Infonetics Research released its third quarter of 2010 (3Q10) Data Center Network Equipment market share and forecast report.
ANALYST NOTE
“A new round of data center upgrades is underway, driven by virtualization, surging amounts of data, the growing need for storage, under-investment in 2009, and renewed life in the financial sector. Even with a relatively flat third quarter and an expected down fourth quarter, the market for data center network equipment is poised to grow 67% in 2010 over 2009 to hit a milestone $7.6 billion worldwide,” predicts Matthias Machowinski, directing analyst for enterprise networks and video at Infonetics Research.
DATA CENTER NETWORK EQUIPMENT MARKET HIGHLIGHTS
Worldwide revenue from data center network equipment, including data center Ethernet switches, application delivery controllers (ADCs), and WAN optimization appliances, grew 2% in 3Q10 over 2Q10 to $1.9 billion
Growth was led by activity in North America and EMEA
10G accounts for 14% of data center switch ports in 3Q10, much higher than in the total Ethernet switch market
Infonetics Research predicts 10G port penetration to reach about 50% by 2014, aided by rapidly falling prices
The ADC segment is getting a big boost from telecom carriers, a healthy-again financial sector, and the general trend of data center upgrades
F5 continued to build its lead in ADC revenue share in 3Q10, and Citrix revenue jumped 25%, surpassing Cisco for the first time
Riverbed’s WAN optimization appliance revenue surged 22% in 3Q10 and is now enjoying a double-digit lead over their nearest competitors
REPORT SYNOPSES
Infonetics’ Data Center Network Equipment report is updated quarterly and provides worldwide and regional market size, market share, forecasts, and in-depth analysis for data center Ethernet switches (general purpose, purpose-built, and blade switches), application delivery controllers (ADCs), and WAN optimization appliances. Companies tracked include ADTRAN, Alcatel-Lucent, Arista, Avaya, Blade, Blue Coat, Brocade, Cisco, Citrix, Enterasys, Expand, Extreme, F5, Force10, H3C, HP, Huawei, Ipanema, Juniper, NETGEAR, Radware, Riverbed, Silver Peak, and others.