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Ethernet Switch Market and Router Market post positive results for the Q4 2015

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Ethernet Switch Market and Router Market post positive results for the Q4 2015

The Ethernet Switch market registered $108.2 million in revenue in the Q4 2015, an increase of 6.8% year-on-year in terms of vendor revenue, states International Data Corporation’s APeJ Quarterly Switch and Router tracker.

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Meanwhile, the Router market also improved in Q4 2015, growing 32% on a year-on-year basis and stood at $72.4 million in terms of vendor revenue. According to IDC, the main driver that contributed to the growth is the investments in telecom and the 4G roll outs. More than 80% of the market share emerged from sectors such as Telecom, Banking, Professional Services, Education and Government.

Among the top players, Cisco continued to retain its position with 67% market share followed by Juniper and Huawei. Jupiter witnessed a decline in market, while Huawei and Alcatel-Lucent witnessed a strong growth in Q4 2015. Huawei and Alcatel-Lucent’s major contribution came from telecom vertical.

The sector will still witness growth in the coming years owing to the growing number of 4G deployments and Government projects, predicted IDC.

The WLAN market in India clocked a decline of 2% quarter-on-quarter, however witnessed a growth of 19% year-on-year during Q4 2015.  It registered $53.41 Million as end-user revenue. Wi-Fi initiatives, increasing number of devices and other Government initiatives will further leverage this growth.

In WLAN market, D-Link continued to lead with 30% share. Followed are Cisco and TP-link. The 80% of the market comprise of home and education segment.

Commenting on the market evaluation, Gaurav Sharma, Research Manager – Enterprise & IPDS (India) said, “Networking market is in the middle of a huge value shift from hardware to software based solutions that is expected to further change their business models and product portfolios in the near future. The focus on networking would only increase considering that it is the major bottleneck that stands before the vision of a truly connected world.”

For India, IDC predicted that the LAN market will showcase a CAGR growth during 2015-2020. Telecom and banking will be the major contributors to the revenue. There will be also incremental growth from sectors like Education, Government, e-Commerce, Healthcare and Hospitality.

In terms of WLAN market, India will showcase a growth due to SMB and Wi-Fi hotspot demand from various cities, the report said.

Ria Lakshman. V is a lead news writer at The Telecom Times. She studied Journalism at Manipal School of Communication and proceeded to work in newspapers and magazines, with technology as her focus area. Passionate about Telecommunications sector, her move to 'The Telecom Times' was a natural choice. Alongside, she also writes for Telecom Talk, where she covers news and tech commentaries in the sector of telecom. In the free time, Ria loves to go camping, read books, or sketch illustrations. She also runs a local design studio and promotes eco-friendly crafts. Ria can be found sharing her knowledge and insights on Twitter.

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