The worldwide economic uncertainty is obviously not a dampener for the Application Delivery Controller (ADC (News - Alert)) market, as a recent report by Dell'Oro Group indicates strong revenues and continuous growth.

According to the Dell'Oro report, the ADC market will experience a five-percent growth in revenue, which will touch nearly $390 million in the first quarter of 2012.

Data center build outs, consolidation and the concept of BYOD, as well as increased applications on each device, are key factors expected to trigger growth of ADCs.

But while physical modular ended appliances are predicted to increase by a mere 14 percent, virtual appliances will skyrocket and grow by over 167 percent.

Thus within the ADC market, although physical ADCs are expanding their roles beyond mere load balancing, they obviously did not have the same compelling value proposition that virtual appliances had. This was mainly due to higher demand for virtualization and cloud deployment.

"We saw a substantial increase in unit shipments of virtual appliances as virtualization and cloud deployments increase the demand for more flexible and scalable solutions," said Casey Quillin, senior analyst of data center appliance market research at Dell' (News - Alert)Oro Group.

As the trusted source for market information about the networking and telecommunications industries, the Dell'Oro Group, in its current report, has indicated that 2012 could be an important year for virtual appliances in the application Delivery market.

Other industry news reports Dell'Oro Group announced that Wireless Packet Core market revenues grew nine percent over the last year during the first quarter of 2012. Sales were propelled by the Evolved Packet Core segment of the market as service providers accelerated the deployment of Long Term Evolution networks.