High speed network port market to hit $52 billion in 2015 (1G, 10G, 40G, 100G)

Campbell, CALIFORNIA, April 14, 2011—Market research firm Infonetics Research released its 1G/10G/40G/100G Networking Ports market size and forecast report, which tracks 1 Gigabit, 10 Gigabit, 40 Gigabit, and 100 Gigabit optical and Ethernet ports on enterprise and service provider equipment.

ANALYST NOTES

“There is a lot of excitement these days around 100G and 100GE, and whether or how soon 100G prices will cause 40G sales to decline. The truth is that we are at the start of a very long period where 100G and 100GE will be the major port player from 2015 through 2030, with bare beginnings of just several hundreds of 100GE ports on service provider routers shipped to date, and a few inter-city 100G WDM routes deployed. Already street pricing looks very competitive, and with a lot of 100G technology development in motion--more focused than 40G--we expect 100G pricing to get to 2X 40G pricing in the 2013 timeframe, which should be the turning point for 100G versus 40G in the service provider market," notes Michael Howard, principal analyst for carrier and data center networks and co-founder of Infonetics Research.

Matthias Machowinski, directing analyst for enterprise networks and video at Infonetics Research and co-author of the report, adds: “The market for 1G-and-higher enterprise ports took a bit of a breather in 2009 during the recession, but came back full force in 2010. The enterprise 40G Ethernet port segment will be one of the most interesting to watch going forward, with the first shipments expected in 2011 followed by rapid growth, driven by data center deployments.”

1G/10G/40G/100G NETWORKING PORTS MARKET HIGHLIGHTS

• The number of 1G, 10G, 40G, and 100G network ports shipped on service provider and enterprise equipment in 2010 jumped 43% over the previous year, to 184 million, and manufacturer revenue grew 28%, to just under $33 billion
• Equipment manufacturer revenue from 1G, 10G, 40G, and 100G networking ports is forecast by Infonetics to grow to almost $52 billion in 2015, as enterprises and service providers continue to build out their network infrastructure to respond to growing levels of traffic
• In 2010, high-speed ports (10G, 40G, 100G) represented only 3.5% of all ports sold by manufacturers, but made up 48% of the revenue
• Higher-speed port technology is not only important for carrying the world's network traffic, but a critical source of revenue for equipment manufacturers

Infonetics' 1G, 10G, 40G, and 100G port report, co-authored by analysts Michael Howard, Matthias Machowinski, Andrew Schmitt, and Jeff Heynen, consolidates optical and Ethernet port data from Infonetics services that cover enterprise Ethernet switches, routers, and application delivery controllers, as well as service provider routers, multiservice ATM switches, CES (carrier Ethernet switches), optical gear (WDM and SONET/SDH), PON OLTs, MSAPs, IP DSLAMs, CMTSs, and enterprise (other communications equipment). The report provides worldwide and regional market size, forecasts through 2015, and in-depth analysis for ports, revenue, and revenue per port, with pivot tables that allow views of port data by segment and technology.

The report includes a Customer Wins tracker with new updates on activity by equipment manufacturers including Alcatel-Lucent, ARRIS, Atheros, Ciena, Cisco, Cyan, ECI Telecom, Ericsson, Gennum, Huawei, Ikanos, Juniper, NEC, Fujitsu, Occam, Orckit-Corrigent, Sigma, Technicolor, Tellabs, Zhone, and others.

Service providers noted in the Customer Wins tracker include 360networks, A1 Telekom Austria, Baldwin Telecom, China Unicom, Cox, Etisalat, France Telecom, NTT, StarHub, Telekom Malaysia Berhad, Portugal Telecom, Reliance, Shanghai Telecom, Sprint, Telefónica O2 UK, Verizon, and many others.

• 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

For report highlights, tables of contents, etc., see the Optical, Broadband Access, Carrier Routing and Switching, and Enterprise Networking research sections of Infonetics' online portal at http://www.infonetics.com/login, or contact Sales, above.

• EMEA optical network hardware market up 25% in 4Q10
• 40G, 100G optical transceiver market will be dominated by in-house vendors
• Broadband CPE market continues shift to FTTH; Huawei leads
• Broadband aggregation spending up 27% in 2010; Huawei expands lead
• Alcatel-Lucent jumps to #2 in IP router market; carrier routers/switches up 20.5% in 2010
• Expansion, virtualization, cloud services drive data center markets
• Cisco propels SAN equipment market
• Ethernet switches and WLAN blow past pre-recession highs; enterprise routers disappoint

• Telecom and Datacom Network Equipment
• Total Broadband Equipment, CPE, and Subscribers Pivot
• Total Broadband CPE, Home Networking, and Subscribers Pivot
• Total Service Provider VoIP and IMS Equipment and Subscribers Pivot
• Total Data Center and SAN Equipment Pivot
• Total Security Pivot
• Total Enterprise and Service Provider Routers Pivot
• Total Enterprise and Carrier Ethernet Switches Pivot
• Total Enterprise Network Equipment Pivot

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 more effectively.

Follow Infonetics on Twitter for the latest headlines: http://twitter.com/infonetics.

# # #