May 24, 2012
Ethernet Access Device Market Set to Continue Growth, Says Infonetics Research
TMCnet Contributing Writer
In its new Ethernet Access Devices market size, market share and forecast report, released today, Infonetics Research (News - Alert) found that the Ethernet access device market grew 17 percent in 2011 over 2010 and forecasts growth of 81 percent between 2012 and 2016.
“The Ethernet access device market is growing nicely as a direct reflection of carrier Ethernet connections to businesses, backhaul from buildings and DSLAMs, and as a growing broadband and mobile backhaul application,” said Michael Howard (News - Alert), principal analyst for carrier networks and co-founder of Infonetics Research, in a press release.
Further notable findings from the report include that the key trend singled out as driving demand for Ethernet access devices is rapid service provider rollout and customer uptake of Ethernet connections and services.
The report also states that fiber Ethernet access devices currently make up 70 percent of all EAD purchases, while copper EADs — Ethernet over TDM bonded circuit, or EoTDM EADs, and Ethernet First Mile bonded copper, or EFM EADs — make up the remaining 30 percent. Furthermore, copper will continue to have an important, if limited, role for Ethernet services even as many operators move to fiber as they upgrade building sites and mobile backhaul from TDM to Ethernet because copper solutions fit in many places where the expense of fiber isn't justifiable.
The report also states that Ciena overtook ADVA (News - Alert) as the global leader in Ethernet access device revenue market share in 2011, due largely to Ciena's large mobile backhaul contracts in North America and internationally, while Actelis (News - Alert) leads the EFM bonded copper EAD segment.
Lastly, in 2011, consolidation was finally seen in the EAD market as notable merger and acquisition activity like Overture's merger with Hatteras and TELCO Systems' acquisition of ANDA's assets took place.
A related report on Carrier Ethernet Equipment was also released today, which stated that operators will spend a cumulative $186 billion worldwide on carrier Ethernet equipment by 2016.
Edited by Brooke Neuman