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Router and Switch Market in North America to Grow at CAGR of 2% by 2022| Key Players Are current trends and finance metrics. Cisco Systems, Juniper Networks, Alcatel-Lucent, ZTE Corporation and Huawei Technologies
Router and Switch Market
Router and Switch Market is expected to grow at 3% to surpass USD 40 billion by 2022. Smooth transition from hardware based to software-based solutions provides customized and flexible network infrastructure as per the user application. Booming implementation for cloud computing solutions is expected to drive the industry during the forecast timeframe.
Application-Specific Integrated Circuits (ASIC) along with software and hardware components offers precise solutions to satisfy the customer requirements. The advantages of ASIC are achieving the clients demand in terms of quality, scalability, cost of ownership and security. Booming urge for software solutions is driving the router and switch market demand.
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Fast network deployment is aiding to increase in number of mobile devices. Spur in router and switch market is witnessed due to rise in number of smart phones, wireless devices, and networks such as 3G,4G, and VoLTE.
Internet protocols are large scale networks carrying bulk data. Thus, network failure may lead to huge amount of losses. High costs are involved in regular maintenance of the hardware components and upgradation of software solutions. These excessive costs may restrict the router and switch market growth rate.
Growing demand for internet enabled equipment’s, development of cloud networks, growing use of cloud computing solutions and growing acceptance of virtual technology are few of the factors predicted to promote the growth of the global router and switch market.
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Rising demand for rigorous research & development activities has resulted in manufacture of modernized high-end user-friendly products that meet process needs. This has significantly enlarged the extent of bandwidth of advanced IP routing activities and this is predicted to boost the growth of the router and switch market in future.
Based on the product, the global router and switch market is bifurcated into Ethernet service edge router, internet exchange router, multiservice edge router, ATM switch, service provider core router and network termination equipment. As the information/data carriers become growingly dependent on Ethernet service to transfer IP traffic in their systems, demand for these Ethernet service edge products is predicted to grow during the estimated period. Depending upon service, global router and switch market is divided into broadband aggregation service, Ethernet access service, internet data centre service and Ethernet aggregation service.
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The enhanced growth of the router and switch market in China due to large scale growth of data and video for residential customers and firms in China is predicted to contribute towards the demand & growth of the router and switch industry in APAC zone.
Asia Pacific accounted for a large global share in the industry in 2014 owing to surge in demand for high definition content and multi-screen delivery.
Router and switch market participants are Huawei Technologies, Alcatel-Lucent, Juniper Networks, Cisco Systems, and ZTE Corporation, wherein Cisco Systems which mainly deals in network component sales.
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