Service Provider Router Market to Transition from a Growth to a Mature Market by 2017, According to Dell'Oro Group

Market growth expected to fall below five percent by 2017

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Feb 04, 2013, 09:30 ET

REDWOOD CITY, Calif., Feb. 4, 2013 /PRNewswire/ -- According to a newly published report by Dell'Oro Group, the trusted source for market information about the networking and telecommunications industries, the Service Provider Router market will face a lower growth rate in the next five years as compared to past periods of market expansion. Service Providers are expected to reduce their router investments in the coming years as network traffic growth slows, equipment prices shrink, and networks are more efficiently provisioned.

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"In the recent past, it was common for the Service Provider Router market to grow annually by 20 percent or more as network operators allocated larger portions of their capital expenditures to routers to support Internet traffic growth. In stark contrast, we forecast annual market growth to remain below ten percent from 2012-2017," said Shin Umeda, Vice President at Dell'Oro Group. "Service Providers will need to take advantage of new products and network architectures, and improve operating processes to make their networks more efficient and obtain the most return on their investment," added Umeda.

The Service Provider Router market is further broken down into the Service Provider Core and Edge segments in the Routers 5-Year Forecast Report. In addition to this, the Enterprise High End and Access markets are also analyzed in depth.

About the Report

The Dell'Oro Group Routers 5-Year Forecast Report provides a complete overview of the Routers industry with tables covering Service Provider and Enterprise Router markets for historical and future time periods. The report includes qualitative analysis and detailed statistics on revenue, average selling prices and unit and port shipments. To purchase this report, please call Julie Learmond-Criqui at +1.650.622.9400 x244 or email [email protected]

About Dell'Oro Group

As the trusted source for market information about the networking and telecommunications industries, Dell'Oro Group provides in-depth, objective research and analysis that enables component manufacturers, equipment vendors, and investment firms to make fact-based, strategic decisions. For more information, contact Dell'Oro Group at +1.650.622.9400 or visit www.delloro.com.

SOURCE Dell'Oro Group