Delloro: Core Router Market Expected to Hit $3.4 Billion by 2018

Core router product upgrades with higher speed ports and an increase in traffic in the metro will drive the worldwide Service Provider Core Router market to over $3.4 billion by 2018, according to a new report from Dell'Oro Group.

With continued growth in IP traffic demand, many Service Providers are coming closer to exhausting Internet backbone capacity and scalability on their aging core router platforms.  With recently introduced products that meet these higher capacity needs, Service Providers are likely to perform a product upgrade cycle over the next couple of years after comprehensive testing and trials,” said Alam Tamboli, Business Analyst at Dell’Oro Group.  “Furthermore, the growth of traffic in metro area networks is expected to outpace that of traffic in backbone networks due to a shift in IP traffic patterns related to content delivery networks and data centers.  This shift in patterns has caused many Service Providers to install core routers into their metro networks, effectively increasing the total available market to Service Provider Core Routers,” added Tamboli.

http://www.delloro.com/news/service-provider-core-router-market-to-reach-3-4-billion-in-2018