In the second quarter of 2010, the enterprise Ethernet switching business grew 32.7% compared to a year earlier and the Ethernet router market expanded 11.0% year-over-year, according to the International Data Corporation (IDC) Worldwide Quarterly Enterprise Networks Tracker. The strong performance was seen across all regions and key product segments.
From a vendor perspective, Cisco's Ethernet switch market share increased to 65.8% in 2Q10 from 62.8% in 2Q09, but was down from 68.3% in the exceptionally strong 1Q10. Cisco performed on par with the Service Provider router market and now accounts for 46.1% of Service Provider router revenue (same as in 2Q09).
"The second quarter performance was very good, following on the heels of exceptional first quarter results for the Ethernet switch market," said Rohit Mehra, director, Enterprise Communications Infrastructure at IDC. "As seen in previous years, the second calendar quarter builds on the performance of the first, which is what the market delivered, showing strong year-over-year growth from the slowdown the market witnessed in 2009. The continued adoption of PoE (Power over Ethernet) and gigabit ethernet is also being helped by the underlying networking drivers -- the growth of voice and video over IP applications, network-attached devices, virtualization, and cloud computing."
IDC's Worldwide Quarterly Enterprise Networks Tracker provides global Ethernet switch coverage, including manufacturer revenue and port shipments by vendor, layer, speed, form factor, power over Ethernet (PoE) capabilities, and average pricing. The router coverage shows manufacturing revenue and unit shipments by vendor, product class, deployment, connectivity, and average pricing. Ethernet switch and router market results are delivered in a pivot table seven weeks after the close of the calendar quarter.
"The second quarter performance was very good, following on the heels of exceptional first quarter results for the Ethernet switch market," said Rohit Mehra, director, Enterprise Communications Infrastructure at IDC. "As seen in previous years, the second calendar quarter builds on the performance of the first, which is what the market delivered, showing strong year-over-year growth from the slowdown the market witnessed in 2009. The continued adoption of PoE (Power over Ethernet) and gigabit ethernet is also being helped by the underlying networking drivers -- the growth of voice and video over IP applications, network-attached devices, virtualization, and cloud computing."
IDC's update report found that the worldwide router market showed moderate strength in 2Q10. The enterprise router market was marginally lower compared to 1Q10, but had an 8.0% year-over-year gain. This segment continues to be soft and off by around 25% from the record levels seen in 2007 and 2008. Service provider router revenue now accounts for 73.9% of the router market and includes both core and edge routers.
"The continued market recovery in 2010 is very encouraging with all regions and market segments making a contribution," said Cindy Borovick, vice president, Enterprise Communications Infrastructure and Datacenter Networks. "IDC's Worldwide Quarterly Enterprise Networks Tracker shows a strong 87.9% year-over-year increase in 10GbE switch revenue in 2Q10 and for the first time there were more than 1 million 10GbE ports shipped in the quarter. The 10Gb adoption was driven by datacenter, cloud, and campus buildouts."
From a vendor perspective, Cisco's Ethernet switch market share increased to 65.8% in 2Q10 from 62.8% in 2Q09, but was down from 68.3% in the exceptionally strong 1Q10. Cisco performed on par with the Service Provider router market and now accounts for 46.1% of Service Provider router revenue (same as in 2Q09).
IDC's Worldwide Quarterly Enterprise Networks Tracker provides global Ethernet switch coverage, including manufacturer revenue and port shipments by vendor, layer, speed, form factor, power over Ethernet (PoE) capabilities, and average pricing. The router coverage shows manufacturing revenue and unit shipments by vendor, product class, deployment, connectivity, and average pricing. Ethernet switch and router market results are delivered in a pivot table seven weeks after the close of the calendar quarter.
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From a vendor perspective, Cisco's Ethernet switch market share increased to 65.8% in 2Q10 from 62.8% in 2Q09, but was down from 68.3% in the exceptionally strong 1Q10. Cisco performed on par with the Service Provider router market and now accounts for 46.1% of Service Provider router revenue (same as in 2Q09).
"The second quarter performance was very good, following on the heels of exceptional first quarter results for the Ethernet switch market," said Rohit Mehra, director, Enterprise Communications Infrastructure at IDC. "As seen in previous years, the second calendar quarter builds on the performance of the first, which is what the market delivered, showing strong year-over-year growth from the slowdown the market witnessed in 2009. The continued adoption of PoE (Power over Ethernet) and gigabit ethernet is also being helped by the underlying networking drivers -- the growth of voice and video over IP applications, network-attached devices, virtualization, and cloud computing."
IDC's Worldwide Quarterly Enterprise Networks Tracker provides global Ethernet switch coverage, including manufacturer revenue and port shipments by vendor, layer, speed, form factor, power over Ethernet (PoE) capabilities, and average pricing. The router coverage shows manufacturing revenue and unit shipments by vendor, product class, deployment, connectivity, and average pricing. Ethernet switch and router market results are delivered in a pivot table seven weeks after the close of the calendar quarter.
"The second quarter performance was very good, following on the heels of exceptional first quarter results for the Ethernet switch market," said Rohit Mehra, director, Enterprise Communications Infrastructure at IDC. "As seen in previous years, the second calendar quarter builds on the performance of the first, which is what the market delivered, showing strong year-over-year growth from the slowdown the market witnessed in 2009. The continued adoption of PoE (Power over Ethernet) and gigabit ethernet is also being helped by the underlying networking drivers -- the growth of voice and video over IP applications, network-attached devices, virtualization, and cloud computing."
IDC's update report found that the worldwide router market showed moderate strength in 2Q10. The enterprise router market was marginally lower compared to 1Q10, but had an 8.0% year-over-year gain. This segment continues to be soft and off by around 25% from the record levels seen in 2007 and 2008. Service provider router revenue now accounts for 73.9% of the router market and includes both core and edge routers.
"The continued market recovery in 2010 is very encouraging with all regions and market segments making a contribution," said Cindy Borovick, vice president, Enterprise Communications Infrastructure and Datacenter Networks. "IDC's Worldwide Quarterly Enterprise Networks Tracker shows a strong 87.9% year-over-year increase in 10GbE switch revenue in 2Q10 and for the first time there were more than 1 million 10GbE ports shipped in the quarter. The 10Gb adoption was driven by datacenter, cloud, and campus buildouts."
From a vendor perspective, Cisco's Ethernet switch market share increased to 65.8% in 2Q10 from 62.8% in 2Q09, but was down from 68.3% in the exceptionally strong 1Q10. Cisco performed on par with the Service Provider router market and now accounts for 46.1% of Service Provider router revenue (same as in 2Q09).
IDC's Worldwide Quarterly Enterprise Networks Tracker provides global Ethernet switch coverage, including manufacturer revenue and port shipments by vendor, layer, speed, form factor, power over Ethernet (PoE) capabilities, and average pricing. The router coverage shows manufacturing revenue and unit shipments by vendor, product class, deployment, connectivity, and average pricing. Ethernet switch and router market results are delivered in a pivot table seven weeks after the close of the calendar quarter.
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to acquire AT&T's local network outsourcing service in Japan. Through this acquisition, IIJ will be providing WAN services to approximately 1,600 domestic corporate customers. IIJ's own client bases has over 6,500 corporate customers. Additionally, IIJ will also provide international services through business tie-up with AT&T Japan. Financial terms were not disclosed.
announced a restructuring to align itself with the "New Era in Enterprise Services." Plans call for investing in fully automated, standardized, state-of-the-art commercial data centers built on its Converged Infrastructure and operated by its industry-leading management software. HP will consolidate dozens of data centers into perhaps half a dozen super centers. The company will also eliminate up to 9,000 positions over several years as it pursues cloud-based services.
