Global Ethernet switches and routers unexpectedly grow strongly in the first quarter of 2020
Comprehensive news on December 02: IDC Global Ethernet Switch and Router Quarterly Tracking Report shows that IDC Global Ethernet Switch (Layer2 / 3) revenue in the third quarter of 2017 was US $ 6.75 billion, a year-on-year increase of 7.4%. At the same time, the global enterprise and service provider (SP) router market revenue was US $ 3.91 billion, a year-on-year increase of 9.4%. From a geographical perspective, the global Ethernet switch market performed well in the third quarter of 2017. The Central and Eastern Europe (CEE) region performed best, with a year-on-year increase of 16.6%. During the quarter, performance
December 02 Comprehensive news: IDC global Ethernet switches and routers quarterly tracking report shows that IDC global Ethernet switches (Layer 2/3) revenue in the third quarter of 2017 was 6.75 billion US dollars, an increase of 7.4% year-on-year. At the same time, the global enterprise and service provider (SP) router market revenue was US $ 3.91 billion, a year-on-year increase of 9.4%.
From a geographical perspective, the global Ethernet switch market performed well in the third quarter of 2017. The Central and Eastern Europe (CEE) region performed best, with a year-on-year increase of 16.6%. During the quarter, the initial performance countries were the Czech Republic (up 47.3% year-on-year) and Hungary (up 40.2% year-on-year). Asia-Pacific (excluding Japan) and Western Europe both experienced year-on-year growth of more than 12% in the quarter, 12.6% and 12.4%, respectively. The most prominent countries in the quarter included China (a year-on-year growth of 19.4%) and Germany (same growth of 23.2% ) And India (up 18.2% year-on-year). On the other hand, the UK is still affected by the uncertainty of Brexit, which fell 3.2% year-on-year in the quarter. Japan increased by 11.4% year-on-year and Latin America increased by 7.7%, which is comparable to the overall market. The only region that fell during the quarter was the Middle East and Africa (MEA), which decreased by 1.2% year-on-year.
Rohit Mehra, Vice President of Network Infrastructure at IDC, said: "The strong demand for application-related infrastructure and services at the edge and core locations will continue to supplement important cloud construction and maintain the demand for network infrastructure. At the same time, connect the edge to The core, as well as the cloud requirements to upgrade to WAN connectivity, we will continue to see growing demand from enterprises and service providers to take full advantage of architectural disruption from areas such as SD-WAN and mobile backhaul. "
As hyperscale data centers and cloud providers continue to adopt 100Gb Ethernet switches, the income of Ethernet switches continues to grow rapidly, and some large enterprises continue to accelerate. Shipments of 100Gb Ethernet switches exceeded 1.2 million ports and revenue was $ 608 million. 100Gb now accounts for 9% of the overall market revenue, up from 3.6% in the same period last year. 25Gb / 50Gb Ethernet switch products have also begun to gain attention, with shipments in the third quarter of 2017 surpassing 750,000 ports and $ 85 million in revenue. As previously expected, 25Gb, 50Gb, 100Gb is having a negative impact on 40Gb. In the third quarter, 40Gb shipments decreased by 36.7% year-on-year, and revenue decreased by 20% year-on-year. 10Gb performed steadily in the quarter, with shipments increasing 49.6% year-on-year and revenue increasing 5.2% year-on-year. At the same time, 1Gb as the main connection technology for enterprise campuses and branch deployment environments also occupies a large part of the Ethernet switch market. 1Gb port shipments reached 105.9 million ports, a year-on-year increase of 10.6%, and accounted for 66.6% of all shipped ports in the quarter. In terms of revenue, 1Gb's revenue increased by 2.4% year-on-year, and revenue accounted for 42.6%.
In the third quarter of 2017, the global enterprise and service provider router market increased by 9.4% year-on-year, the large service provider segment market increased by 14.8%, and the enterprise routing market declined by 6.3%. In the next few quarters, this will be a market worthy of close attention, because software-defined architecture has begun to occupy a place in the WAN field. SD-WAN has the potential to subvert the traditional routing architecture and WAN transmission service market, especially at the network edge.
In the third quarter of 2017, the entire enterprise and service provider router market performed differently in various regions, with Asia Pacific (excluding Japan) experiencing the largest increase (31.7%). MEA also performed well, with a year-on-year increase of 8.9%. Central and Eastern Europe, North America and Japan all had mid-single-digit growth during the quarter, with increases of 5.6%, 8% HE and 4.8% respectively. Western Europe decreased by 4.7% year-on-year, and Latin America decreased by 15.9% year-on-year.
In the quarter, Cisco's Ethernet switch market increased by 6.8% year-on-year, with a market share of 56.7%, higher than the previous quarter's 54.7%, but lower than 57% in the same period last year. In the fiercely competitive 10Gb market, Cisco has a 53.5% market share, up from 51.6% in the previous quarter. Cisco's revenue in the service provider and enterprise router markets increased by 3% year-on-year. The market share for the quarter was 41.4%, higher than the previous quarter's 40.8%, but lower than last year's 44%.
Huawei continued to perform well in the Ethernet switch and router market. In the quarter, Huawei's Ethernet switch revenue increased by 14.1% year-on-year, and its market share was 7.7%, higher than 7.2% in the same period last year. Huawei ’s enterprise and service provider router revenues grew 44% year-on-year, with a market share of 21.9%, up from 16.6% in the same period last year.
HPE's Ethernet switch revenue in the quarter increased by 7.5% year-on-year, and its market share was 5.5%, which was lower than the 5.6% in the previous quarter, but it remained flat year-on-year. (Note: HPE and H3C were recorded separately in the second quarter of 2016.)
Arista Networks performed well in the quarter, with Ethernet switch revenue increasing 49.6% year-on-year and a market share of 5.6%, which was higher than 4% in the same period last year.
Juniper's Ethernet switch revenue decreased by 4.2% year-on-year, with a market share of 3.2%, down from 3.5% in the same period last year. Juniper's service provider and enterprise router revenue decreased by 5.6% year-on-year, with a market share of 15%, down from 17.3% in the same period last year.
H3C's Ethernet switch revenues all come from the China and Hong Kong markets, which increased by 37.3% year-on-year in the quarter, and has been successful among enterprises and Chinese cloud providers. H3C's enterprise router business also performed well, with a 50.9% year-on-year increase in the quarter.