Story image

Cisco dominates branded data center Ethernet switch spend

09 Sep 16

Cisco is dominating spending on branded data center Ethernet switches, accounting for more than half all spending in a market that is seeing the highest growth rates in four years.

According to new analysis from Crehan Research, the first half of 2016 saw the strongest growth of branded data center Ethernet switches since the first half 0f 2012.

The market's growth rate in the first half of 2016 approximately doubled the rate seen in the previous two years leading to record results, the research firm’s latest report reveals.

"Customer spending and deployments of branded data center Ethernet switches accelerated significantly during the first half of this year due to a number of factors," says Seamus Crehan, president of Crehan Research.

"First, we have seen the recent introduction of numerous products with compelling features and value propositions including programmability, automation, and telemetry, which help to enable software-defined data center networks. 

“Second, we are seeing the price per gigabit of bandwidth drop significantly, enticing customers to upgrade their existing infrastructure,” he says.

“And lastly, we are seeing a lot of early excitement and interest around 100 gigabit Ethernet switching, where data center shipments have gone from about ten thousand ports in the first half of 2015 to well over one-hundred thousand ports in the first half of 2016."

According to Crehan, over half of all spending in the market was on Cisco products during the first half of 2016.

The company enjoyed particularly strong adoption of its Nexus 3000 and 9000 lines, the report shows.

However, the strongest vendor revenue growth during the same time period was seen by Arista and Huawei, each of which increased revenues by over thirty percent in comparison to the first half of 2015.

Juniper Networks' revenue also had a very healthy increase – in the twenty-percent range – as its QFX portfolio of data center Ethernet switches saw strong acceptance within the telco, cable and cloud service provider markets.

"The market for branded data center Ethernet switches looks promising heading into the second half of 2016," Crehan says.

"The second half of the year has historically performed better than the first, and in the second half of 2016 we expect the 100 gigabit Ethernet ramp to really kick in."  

Pitfalls to avoid when configuring cloud firewalls
Flexibility and granularity of security controls is good but can still represent a risk for new cloud adopters that don’t recognise some of the configuration pitfalls.
Cisco dominates record-high Ethernet switch & router markets
While the market is flourishing, it’s tough-going as Cisco has increased its majority share of the pie.
Tensions on the rise after Huawei CFO arrest
“Recently our corporate CFO, Meng Wanzhou, was provisionally detained by the Canadian authorities on behalf of the United States of America."
Why total visibility is the key to zero trust
Over time, the basic zero trust model has evolved and matured into what Forrester calls the Zero Trust eXtended (ZTX) Ecosystem.
Gartner names Proofpoint Leader in enterprise information archiving
The report provides a detailed overview of the enterprise information archiving market and evaluates vendors based on completeness of vision and ability to execute.
QNAP introduces new 10GbE and Thunderbolt 3 NAS series
The new series is supposedly an all-in-one NAS solution for file storage, backup, sharing, synchronisation and centralised management. 
HPE to supply tech to Formula E racing team
“At HPE, we believe the future belongs to the fast, and we’re focused on accelerating what’s next for enterprises, including in the world of auto racing."
Data Exchange Networks achieves world-first
After receiving a new Uptime Institute award, DXN is now the first modular data centre developer in the world equipped to blend different standards.