Ethernet Switches: Worldwide, Regional, China, and Japan (2013 Edition)

2Q13 ETHERNET SWITCH MARKET HIGHLIGHTS

1.       Globally, the Ethernet switch market was up 6% in 2Q13, to $5 billion

2.       10G ports recovered after a temporary dip in 1Q13, and are up 39% from the year-ago quarter

3.       40G Ethernet is growing rapidly: On the heels of over 1,000% growth in 2012, 40G port shipments doubled again sequentially in 2Q13

4.       The new 100G Ethernet switch segment tripled from the previous quarter, thanks to broader availability of 100G solutions

5.       Alcatel-Lucent, Enterasys and Juniper all posted strong (+20%) sequential revenue gains in 2Q13

ETHERNET SWITCH REPORT SYNOPSIS

Infonetics’ quarterly Ethernet switch report provides worldwide and regional market size, vendor market share, forecasts through 2017, analysis, and trends for Ethernet switches and PoE, including ports, fixed configuration switches, and chassis switches. Vendors tracked: Adtran, Alaxala, Alcatel-Lucent, Arista, Avaya, Brocade, Cisco, D-Link, Dell, Enterasys, Extreme, Hitachi Metal, HP, Huawei, IBM, Juniper, Netgear, Ruby Tech, TP-Link and others.

TOP TAKEAWAY: ETHERNET SWITCH RECOVERY STALLS IN 2Q13 ......................... 1

SERVICE UPDATES .................................................................................................... 1

ETHERNET SWITCH SALES GROW AFTER SLOW Q1, BUT NOT ENOUGH TO DRIVE YoY GROWTH ................. 2

Buyers move from value to features ........................................................................................3

High speed ports in high demand ........................................................................................3

PoE ports slow as 100M ports decline ..............................................................................4

1G and 10G are taking over . . . ......................................................................................6

40G is here, 100G revolution is coming soon .....................................................................6

. . . but speed of adoption varies by segment ....................................................................8

Copper almost maxed out for 1G, has room to grow in 10G ..............................................9

Falling prices a crucial factor in 10G adoption .................................................................11

Revenue per port on a declining trajectory ......................................................................11

Growth picks up in 2012, healthy market ahead ..............................................................12

NORTH AMERICA SAVES THE QUARTER ..................................................................... 14

ALCATEL-LUCENT, ENTERASYS, JUNIPER POST STRONG 2Q13 RESULTS ............. 17

General market share trends ...................................................................................................18

Regional differences ........................................................................................................20

Unmanaged and web-managed switches ........................................................................21

______________ rule unmanaged switches ................................................................21

__________ web-managed switch king ..........................................................................22

______ leads fully managed switches ............................................................................22

______ trails behind in China ............................................................................................24

SIGNIFICANT VENDOR ANNOUNCEMENTS ................................................................. 25

ETHERNET SWITCH MARKET DRIVERS ......................................................................... 25

ETHERNET SWITCH MARKET ROADMAP ........................................................................ 26

CATEGORY DEFINITIONS ............................................................................................... 28