The Ethernet switch market revenue rose 1 percent year over year and 7.6 percent quarter over quarter to $5.8 billion in the second quarter of 2015 – supported by 5.1 percent growth in North America, said IDC.
Total enterprise and service provider router market grew 11.5 percent year over year and 11.5 percent sequentially.
All markets posted negative growth in Ethernet switch market revenue, excluding North America.
Ethernet switch performance in top markets
# North America +5.1 percent
# Asia Pacific including Japan -2.4 percent
# Latin America -2.9 percent
# EMEA -2.4 percent
The relatively strong 10Gb segment saw weaker results than expected, said IDC.
“Given the increasing workloads traversing networks across the enterprise, datacenter, and with service providers, this weakness is likely the result of anticipation for and delayed decision-making around newer and emerging speeds,” said Rohit Mehra, vice president, Network Infrastructure, at IDC.
10Gb Ethernet switch revenue decreased 3.9 percent to $2.1 billion while 10Gb Ethernet switch port shipments grew 16.4 percent year with nearly 7.3 million ports shipped.
40Gb Ethernet revenue grew 59.7 percent to over $500 million. 10Gb and 40Gb Ethernet are expected to continue to be the primary drivers of the overall Ethernet switch market.
1Gb Ethernet switch revenue declined 1.5 percent.
The worldwide enterprise and service provider router market increased 11.5 percent.
The enterprise segment increased 8.3 percent, while service provider segment rose 12.5 percent.
Enterprise and service provider router market performance
# Latin America +26.7 percent
# APJ +8.9 percent
# North America +11.3 percent
# EMEA +10.4 percent
Cisco increased Ethernet switching market share to 59.9 percent from 59.4 percent. Cisco’s service provider and enterprise router revenue increased 14.9 percent.
HP’s Ethernet switch revenue decreased 2.6 percent. HP’s market share in switching fell 9.9 percent.
Juniper Ethernet switching share increased 6.9 percent. Its router revenue declined 4.5 percent.
Meanwhile, Dell’Oro Group said HP and Cisco shipped Multi-Gigabit Ethernet switches in the second quarter 2015. HP began shipping Multi-Gigabit enabled ports on its 5400 in April and Cisco on its Catalyst 3000 in June.