Carrier Ethernet equipment market – driven by IP transformation projects – will grow to $30 billion in 2018 from $27 billion in 2013, said Infonetics Research.
Investments in Carrier Ethernet equipment will be $147 billion during the five-year period between 2014 and 2018, said the report.
The main growth driver will be telecom operators which are finalizing the move from TDM to packet-based networks.
The report said Ethernet equipment spending for mobile backhaul will increase to over $9.2 billion in 2018 from $8.4 billion in 2013.
Pricing and technology changes are causing SONET/SDH to decline and microwave growth to slow, said Infonetics Research.
The chief drivers of the carrier Ethernet equipment market are the move to IP packet networks and the growing traffic from consumer, business, and mobile backhaul networks, particularly video traffic.