Thursday, October 26, 2006

Metro Ethernet equipment sales to triple to $15B between 2005 and 2009

Infonetics: Led by strong growth in Ethernet over copper and cable products and carrier Ethernet switches and routers, worldwidel sales of metro Ethernet equipment are surging, from just under $5 billion in 2005 to over $15 billion in 2009.

Metro Ethernet equipment sales will accumulate $49.6 billion over the five-year period between 2005 and 2009.

Ethernet has almost universal appeal to carriers and their customers because it helps lower their telecom costs. Service providers increasingly deploy Ethernet solutions for a variety of uses, but mainly to offer new revenue-generating services. The two most popular types of Ethernet equipment are Ethernet over copper and cable and carrier-class Ethernet switches and routers, which together will make up over two-thirds of the overall metro Ethernet market by 2009. Ethernet access devices (EADs) are a particularly fast-growing segment, reaching about $685 million in 2009, as BT, BellSouth, COLT, Verizon, AT&T and other large providers increasingly use them to roll out Ethernet and mobile backhaul services.

  • worldwidel sales of carrier Ethernet switches and routers hit $2.1 billion in 2005 and will more than double to $4.6 billion in 2009

  • Metro Ethernet port shipments are projected to skyrocket in the next few years, increasing more than 700% between 2005 and 2009; the majority of ports sold will be VDSL copper ports and EPON ports

  • Every year Ethernet will account for a larger portion of metro capex

  • North America accounted for 34% of all metro Ethernet equipment revenue in 2005; Asia Pacific for 33%, EMEA for 30%, and CALA for 3%; through 2009, Asia Pacific will takes share from other regions due to the stronger concentration of fast-growing VDSL and EPON in the region

Metro Ethernet Equipment worldwidel Market Size and Forecasts, Publ 20061026