SOURCE: Infonetics Research

Infonetics Research

June 22, 2009 10:55 ET

Infonetics Research: Flight to value drives Ethernet switch market declines

BOSTON, MA--(Marketwire - June 22, 2009) - Communications market research firm Infonetics Research released the first quarter (1Q09) edition of its Ethernet and Application Switches report. Highlights from the market research report follow.

ANALYST NOTE

"Exacerbated by weak worldwide economic conditions, the Ethernet switch market dropped more than $1 billion in the first quarter of 2009, much more than the normal seasonal first-quarter drop. Demand for Ethernet and application switches is still there, but budgets are under pressure, so we witnessed a shift to lower-priced products, such as 100M PoE switches instead of 1G PoE," said Matthias Machowinski, Directing Analyst, Enterprise Voice and Data, Infonetics Research.

ETHERNET AND APPLICATION SWITCH MARKET HIGHLIGHTS

--  In 1Q09, the Ethernet switch market plunged 26% sequentially, from
    $4.4 billion to $3.3 billion
--  Virtually all switch port shipments were down in 1Q09, with the only
    real bright spots being 1G PoE switches, 10G layer 3 fixed managed
    switches, and 10G chassis switches
--  Year-over-year growth is expected to continue in negative territory
    for the remainder of 2009, but Infonetics expects it to turn positive in
    2010
--  Adoption of 1G is farther along in the web-managed switch segment than
    the fully managed fixed layer 2 and 3 switch segments
--  Declines were similar for the Application switch segment, with revenue
    down more than 20% vs 1Q08 and 4Q08; many vendors were down, with only
    Citrix and Radware reporting higher sales
    

REPORT SYNOPSIS

Infonetics' Ethernet and application switch report tracks 3Com/H3C, Adtran, Alcatel-Lucent, Blade, Brocade, Cisco, Citrix Netscaler, D-Link, Extreme, F5, Force10, Huawei, Linksys, NETGEAR, Nortel, HP ProCurve, Radware, SMC, and others. The report customizable flexible pivot tables and provides market size, market share, forecasts, and analysis for application switches, PoE switches by form factor and speed, and Ethernet switches (including chassis switches and layer 2 and layer 3 managed, unmanaged, and web-managed fixed configuration switches).

Related research:

-- 1Q09 Enterprise Router and WAN Optimization Appliances

-- 1Q09 Wireless LAN and WiFi Mesh Equipment and Phones

FOR MORE INFORMATION

Members: http://www.infonetics.com/login

New to Infonetics' online portal: http://www.infonetics.com/cgp/newaccounts.asp

Once on the portal, go to RESEARCH, then ENTERPRISE DATA.

FOR SALES:

--  Larry Howard, Vice President: larry@infonetics.com, +1 (408) 583-3335
--  Scott Coyne, Senior Account Director, Eastern North America, Europe,
    Middle East: scott@infonetics.com, +1 408.583.3395
    

Infonetics Research 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 more effectively.

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Contact Information

  • Lead Analyst:
    Matthias Machowinski
    Directing Analyst, Enterprise Voice and Data
    Infonetics Research
    VoIP: +1 (408) 583-3363
    Email Contact