America's Solid Growth Offset by Flat EMEA and Declining Asia Pacific
REDWOOD CITY, Calif., June 14, 2022 /PRNewswire/ -- According to a recently published report by Dell'Oro Group, the trusted source for market information about the telecommunications, networks, and data center IT industries, the worldwide Service Provider (SP) Router and Switch market trended flat in 1Q 2022. North America, followed by the Caribbean and Latin America (CALA) region, led the worldwide market with double-digit revenue growth.
"Strong demand for SP Routers in North America and the CALA region was driven by the ramping adoption of 400 Gbps technologies by Cloud SPs and capacity expansions by Telecom SPs," said Ivaylo Peev, Senior Analyst at Dell'Oro Group. "As SPs continued increasing investments by working on a large number of use cases across a broad area of network segments.
"Following on the previous year's developments, major projects in North America were concentrated in network expansions for Internet and cloud backbones, mobile transport, and broadband aggregation. We found that in the CALA region, the strong 1Q 2022 growth reflected investments by Telco SPs in Brazil and Mexico, where the expansion of mobile backhaul infrastructure is increasing," added Peev.
Additional highlights from Dell'Oro Group's 1Q 2022 Service Provider Router and Switch Report:
- Strong growth in the North America and CALA regions offset a flat revenue trend in Europe, Middle East, and Africa (EMEA) and a market decline in the Asia Pacific regions. China's SP Router market grew slightly.
- Key US- and Europe-based vendors exited the Russia and Belarus markets, suspending all sales and services in response to the Russian invasion of Ukraine. These measures caused a negative short-term impact on revenue and weakened vendor performance in the EMEA region.
- Growth in the SP Core Router segment was offset by soft SP Edge Router segment performance and a decline in the SP Aggregation Switch segment.
- Cisco remained the top-ranked vendor by market share, followed by Huawei, Nokia, and Juniper Networks.
The Dell'Oro Group Service Provider Router and Switch Quarterly Report offers complete, in-depth coverage of the Service Provider Router and Switch market for future current and historical periods. The report includes qualitative analysis and detailed statistics for manufacturer revenue by regions, customer types and use cases, average selling prices, and unit and port shipments. To purchase these reports, please contact us by email at [email protected].
Dell'Oro Group is a market research firm that specializes in strategic competitive analysis in the telecommunications, enterprise networks, data center infrastructure, and network security markets. Our firm provides in-depth quantitative data and qualitative analysis to facilitate critical, fact-based business decisions. For more information, contact Dell'Oro Group at +1.650.622.9400 or visit www.delloro.com.
SOURCE Dell'Oro Group
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