Ethernet penetrating more markets

Nov. 6, 2001
November 6, 2001 Pioneer Consulting says service providers will find opportunities in LANs, MANs, and WANs in the coming years.

Ethernet is evolving beyond its LAN roots and will continue to develop into an important networking technology, penetrating an increasing number of markets -- access, metro area network (MAN) and wide area network (WAN) -- throughout major regions of the world.

This is the prediction of Pioneer Consulting. Pioneer, which forecasts steady worldwide growth for Ethernet equipment suppliers during the next five years with the Gigabit Ethernet market expected to reach $44 billion by 2005.

The latest Market & Technology Assessment Report released by Pioneer Consulting, "Gigabit Ethernet: Equipment and Service Provider Opportunities in Multiple Markets," predicts total worldwide equipment sales for all types of Ethernet will increase from $17.3 billion in 2001 to $145.2 billion by 2005. The North American MAN will represent the single greatest market opportunity for Ethernet equipment, according to the report.

"North America will dominate the Ethernet equipment market," explains Doug McEuen, senior market analyst, optical networking for Pioneer Consulting. "The North American Ethernet equipment market will lead the marketplace because of its intense competitive environment, leadership in equipment production and supply, and concentration of Internet traffic."

Pioneer Consulting also predicts an increasing market opportunity for Ethernet service providers. According to the report, the worldwide ESP revenue market will increase from $217.2 million to $14.081 billion by 2005.

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