Data Centre Switching Market Revenue Growth Hits Five Year High, According to Dell’Oro Group

The data centre switching market recorded its most robust year-over-year revenue growth in over five years in 1Q18 as 100-gigabit ethernet port shipments more than doubled year-over-year.

According to a recent report by Dell’Oro Group, a market research firm that specializes in the strategic competitive analysis in the telecommunications, networks, and data centre IT markets.

“The data centre switching market grew 16% year-over-year in the first quarter of the year,” says Dell’Oro senior director Sameh Boujelbene.

This strength was broad-based across both the cloud and enterprise segments. Capital spending by hyper-scale customers such as Google, Microsoft and Facebook as well as smaller tier 2 and 3 cloud service providers was really strong in 1Q18, contributing to the strong growth in Switching and 100 Gigabit ports. Also, we saw a recovery in IT spending from large enterprises that also had a high appetite for 25 and 100 Gigabit Ethernet.”

The 1Q18 Ethernet Switch – Data Centre Report also reveals that 100-gigabit ethernet switch ports contributed more than 30% of total revenue in that quarter.

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