Cisco leads in enterprise segment of telecom and datacom network equipment market

Networking major Cisco is continuing its commanding lead in the enterprise segment of the global total telecom and datacom network equipment market, and is now fifth in the service provider segment, according to Infonetics Research.

Worldwide telecom and datacom equipment and software revenue totaled $160.1 billion in 2010, up 6 percent from 2009.

Infonetics in its report titled Telecom and Datacom Network Equipment and Software forecasts the overall telecom/datacom equipment and software market to grow to $209.1 billion by 2015.

In 2010, the spending split was about 70 percent vs. 30 percent for service provider vs. enterprise equipment and software. By 2015, enterprise spending is expected to grow to 34 percent of the total while carrier spending drops to 66 percent.

Asia Pacific will remain the hottest spending region, driven by 3G upgrades and LTE preparation through 2015 in China, 3G and LTE rollouts in India, and LTE deployments in Australia, Japan, and South Korea.

Recovery from the recession continues slowly and unevenly, but telecom and datacom equipment revenues continue to rise and will do so through 2015 at an overall compound annual growth rate (CAGR) of 5.5 percent.

Service provider mobile and wireless infrastructure and enterprise and data center networks make up the largest portions of revenue, and growth through 2015 is fueled by a wide variety or product segments, from communications and security in the enterprise, to service provider IMS (IP Multimedia Subsystems), routing, switching, and Ethernet.

We are encouraged to see growth in all but two of the markets we track within this industry,” said Jeff Wilson, principal analyst at Infonetics Research.

By Team
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