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Report: Carrier router/switch market is booming in 2Q

Fri, 08/23/2013 - 12:29pm
Mike Robuck

Based on second quarter numbers for the carrier router and switch market, service providers started opening up their wallets in the second quarter of this year.

Globally, service provider router and switch revenue was up 27 percent, to $4 billion, in the second quarter of this year from the first quarter, according to a report by Infonetics Research.

switch

In the overall carrier router and switch market, Huawei gained four market share points in the most recent second quarter to take back the second ranking behind Cisco.

“The second quarter is usually up for carrier routers and switches, but this one is exceptional given the sluggishness of the past few years. Every major geographical region except Japan notched double-digit sequential growth and, more important, gained from the year-ago quarter,” said Michael Howard, principal analyst for carrier networks and co-founder of Infonetics Research. “In Asia Pacific, carrier router and switch revenue jumped 45 percent from the previous quarter thanks in large part to Huawei’s and ZTE’s stellar performance, and even recent laggard Europe/EMEA gained nicely, possibly signaling a pitch forward.”

Other highlights from the report included:

IP edge (edge routers and carrier Ethernet switches) revenue grew 30 percent sequentially in the second quarter, attributable in part to an uptick in the move to 100GE on routers and 100G in optical transport. Meanwhile, core routers grew the slowest quarter-over-quarter

• Alcatel-Lucent, Cisco, Huawei and Juniper Networks together accounted for about 90 percent of total router (edge and core) revenue in the second quarter

Over the past two years, Huawei gained the most edge and core router market share points of any vendor, up 5.6 points.

 

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