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US enterprises and consumers
are expected to spend more than $27 billion over the next five years on Ethernet
services provided by carriers, according to a new market research study from The
Insight Research Corporation. With metro-area and wide-area Ethernet services
now available from virtually all major data service providers, the market is
expected to grow at a compounded rate of over 25 percent, increasing from $2.4
billion in 2009 to reach nearly $7.8 billion by 2014.
According to Insight
Research’s market analysis study, “Carriers
and Ethernet Services: Public Ethernet in Metro & Wide Area Networks 2009-2014,”
the economic recession that emerged in late 2008 is expected to dampen Ethernet
service growth to a projected 14 percent this year; however, the study projects
that growth will re-accelerate beginning in 2010 and that revenue growth will
reach another peak of 32 percent by 2012. Ethernet services are marketed under
various names: transparent or native LAN, Ethernet, Gigabit Ethernet, GigE,
metro Ethernet, Ethernet private line, Ethernet virtual private line, Layer 2
virtual private network, Ethernet access, and virtual private LAN service.
“The carriers are growing their
Ethernet revenues in the context of steadily increasing data bandwidth demand
and because Ethernet has real cost advantages in terms of providing flexible
bandwidth and scalability that is superior to many competitive services,” says
Robert Rosenberg, president of Insight Research. “Though we are predicting an
accelerating pace of Ethernet adoption, we are not suggesting that Ethernet is
ready to ‘take over the world.’ Generally speaking, private line and frame relay
customers are not ready to abandon these services, so the migration to Ethernet
is going to be slow and steady,” Rosenberg concluded.
“Carriers
and Ethernet Services: Public Ethernet in Metro & Wide Area Networks 2009-2014”
examines carrier Ethernet market spending and usage patterns by topology
(E-line, E-LAN, and access), regional domain (metro, wide-area, and access),
retail/wholesale, and various bandwidth levels.
An excerpt of this carrier
Ethernet services market research report, table of contents, and ordering
information are online http://www.insight-corp.com/reports/ethernet09.asp. This
146-page report is available immediately for $3,995 (hard copy). Electronic
(PDF) reports can be ordered online.
For more information please
contact:
Ms. Kim Novak, Marketing Director
973-541-9600
kim@insight-corp.com |
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