Q1 data on service provider routers, Carrier Ethernet gear shows healthy growth
The market for Carrier Ethernet equipment and service provider routers enjoyed healthy growth in the first quarter, climbing 27% from last year to $2.34 billion, according to Synergy Research. Synergy’s study covers service provider core, BRAS and multiservice edge routers; and Carrier Ethernet access, aggregation and Ethernet services routers and switches.
Cisco was the only major vendor to gain share sequentially, boosting its leadership position by 7 points. No. 2 Juniper picked up three market share points on an annualized basis, but lost a half a point from Q4, Synergy notes. No. 3 Alcatel-Lucent gained two points from Q1 2009, but lost three points sequentially.
Market drivers in Q1 were continued investment in new consumer services and service providers needing to upgrade their infrastructure to support increasing amounts of video. IP mobile backhaul was also one of the largest and fastest growth areas, posting numbers that exceeded spending for the entire previous year, Synergy says.
Other strong markets were data center and managed services applications, according to the firm. Sales in Latin America grew 50%, North America 37%, and emerging markets 36%.
Synergy believes the momentum in Q1 is only “the tip of the iceberg.” The firm expects even higher levels of growth as carriers begin to monetize their assets, states Synergy Principal Analyst and Founder Jeremy Duke in a press release.
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