SOURCE: Infonetics Research

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September 11, 2014 11:51 ET

Infonetics: Bounce back in Ethernet switch market in Q2 belies hostile challenges faced by vendors

BOSTON, MA--(Marketwired - September 11, 2014) - Market research firm Infonetics Research released excerpts from its 2nd quarter (2Q14) Ethernet Switches report, which tracks unmanaged, web-managed, and fully-managed fixed and chassis switches by port speed (100M, 1G, 10G, 40G, 100G).

ANALYST NOTE
"The Ethernet switching market recovered in the second quarter of 2014 after a slow first quarter, but revenue growth remains challenged as vendors compete aggressively against each other, white-label solutions gain greater traction, and large data center operators negotiate more favorable terms," notes Matthias Machowinski, directing analyst for enterprise networks and video at Infonetics Research.

Continues Machowinski: "So while overall switching demand remains healthy, revenue is growing at only half the rate of port shipments."

ETHERNET SWITCH MARKET HIGHLIGHTS

  • The global Ethernet switch market grew 11% to $5.4 billion in 2Q14, a result of better than anticipated results at #1 Cisco and strong results by a number of smaller players including Arista, Brocade, HP, Huawei, Juniper, and ZTE
    • Year-over-year growth accelerated from 2% in 1Q14 to 6% in 2Q14
  • Switching growth was well balanced across small- and medium-sized business (SMB) and enterprise accounts, and the public sector is showing signs of stabilization
  • Web-managed and fully-managed fixed switches posted strong growth from 2Q13 to 2Q14, while unmanaged and chassis switches declined
    • 100G ports grew over 50% sequentially in 2Q14, and over 3,000 ports were sold; 100G on fixed switches will start shipping in 3Q14, which is expected to sustain current market growth rates
  • Asia Pacific is the key growth region for Ethernet switches right now, but not all countries are faring equally: China is delivering very strong growth and the rest of APAC is accelerating, while Japan is trending flat to slightly down

ANALYST CONFERENCE CALL FOR CLIENTS
Clients, log in to join Matthias Machowinski Sept. 11 at 11:00 AM EDT for his live Ethernet switch market recap and outlook, or view on-demand: www.infonetics.com/cgp/login.asp?id=914.

ETHERNET SWITCH REPORT SYNOPSIS
Infonetics' quarterly Ethernet switch report provides worldwide and regional market size, vendor market share, forecasts through 2018, analysis, and trends for Ethernet switches and PoE, including ports, fixed configuration switches, and chassis switches. Vendors tracked: Adtran, Alaxala, Alcatel-Lucent, Arista, Avaya, Brocade, Cisco, D-Link, Dell, Extreme, Hitachi, HP, Huawei, IBM, Juniper, Netgear, Ruby Tech, TP-Link, ZTE, others. To buy the report, contact Infonetics: www.infonetics.com/contact.asp.

RELATED REPORT EXCERPTS

RECENT AND UPCOMING ENTERPRISE RESEARCH
Download Infonetics' 2014 market research brochure, publication calendar, events brochure, report highlights, tables of contents, and more at www.infonetics.com/login.

INFONETICS WEBINARS
Visit www.infonetics.com/infonetics-events to register for upcoming webinars, view recent webinars on-demand, or learn about sponsoring a webinar.

  • Shifting to the Cloud: Managing Next-Gen WLANs (View on-demand)
  • Simplifying Networks with Centralized Signaling and Routing (View on-demand)
  • Making the Enterprise WAN Cloud-Ready (Oct. 21: Learn more)

INFONETICS IS HIRING
Infonetics Research is hiring analysts. See job openings here.

TO BUY RESEARCH, CONTACT:
N. America (West), Asia Pacific: Larry Howard larry@infonetics.com +1 408-583-3335
N. America (East, Midwest), Lat. America: Scott Coyne scott@infonetics.com +1 408-583-3395
Europe, Middle East, Africa, India: Iyassu Soquar iyassu@infonetics.com +1 408-583-3397
Greater China, S.E. Asia: 大中华区 Jeffrey Song jeffrey@infonetics.com +86 21-3919-8505
Japan 日本 Takashi Kimura, TAK Analytics takashi.kimura@takanalytics.com +81 3-6408-5566
South Korea 대한민국 Doug Moon, MBAP dougm@mbap.co.kr +82 2-3453-9400

ABOUT INFONETICS
Infonetics Research (www.infonetics.com) is an international market research and consulting firm serving the communications industry since 1990. A leader in defining and tracking emerging and established technologies in all world regions, Infonetics helps clients plan, strategize, and compete effectively. View Infonetics' About Us slides here.

Contact Information

  • PRESS CONTACT:

    Matthias Machowinski
    Directing Analyst, Enterprise Networks and Video
    Infonetics Research
    +1-408-583-3363
    Email contact
    Twitter: @machowinski