Feeds

Cisco dominates declining router market

Security, VoIP are big drivers

  • alert
  • submit to reddit

Choosing a cloud hosting partner with confidence

An upswing in enterprise router sales in North America in Q204 failed to offset a slump in EMEA. Worldwide revenues were down 10 per cent, compared with a revenue uptick of eight per cent in Q104, according to Infonetics Research's quarterly survey.

Cisco retained its strong lead in the enterprise router market, accounting for more than three-quarters of the worldwide sales.

High-end routers account for 49 per cent of total enterprise router revenue, mid-range routers 39 per cent, wired broadband gateways nine per cent, and low-end/SOHO route three per cent. Almost half (46 per cent) of all enterprise router revenue comes from North America, with approximately a third coming from EMEA, and less than a fifth from Asia Pacific.

According to Infonetics, enterprise router revenues will fall until 2007, when they will recover to 2003's $4bn total. Voice over IP and security will be the main sales drivers, the research firm says.

"The traditional layer 2 enterprise router market is evolving into an IP-centric market where enterprise routers are supporting VoIP in addition to security features," said Jeff Wilson, principal analyst of Infonetics Research. "This trend is reflected in the stabilizing and increasing revenue forecast from 2004 to 2007, particularly in the secure mid-range and low-end segments. Enterasys and Vanguard are examples of vendors beside Cisco and Nortel offering integrated voice and security, and Juniper will likely follow suit." ®

Related stories

Secure router revenues are up - but for how long?
Steady Cisco posts strong Q3 results
Major upheaval forecast for recovering router biz

Security for virtualized datacentres

More from The Register

next story
It's Big, it's Blue... it's simply FABLESS! IBM's chip-free future
Or why the reversal of globalisation ain't gonna 'appen
'Hmm, why CAN'T I run a water pipe through that rack of media servers?'
Leaving Las Vegas for Armenia kludging and Dubai dune bashing
Bitcasa bins $10-a-month Infinite storage offer
Firm cites 'low demand' plus 'abusers'
Facebook slurps 'paste sites' for STOLEN passwords, sprinkles on hash and salt
Zuck's ad empire DOESN'T see details in plain text. Phew!
Pssst. Want to buy a timeshare in the clouds?
The Google dilemma — controller or spreader of knowledge?
CAGE MATCH: Microsoft, Dell open co-located bit barns in Oz
Whole new species of XaaS spawning in the antipodes
Microsoft and Dell’s cloud in a box: Instant Azure for the data centre
A less painful way to run Microsoft’s private cloud
prev story

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
New hybrid storage solutions
Tackling data challenges through emerging hybrid storage solutions that enable optimum database performance whilst managing costs and increasingly large data stores.