Report: Datacom transceiver market to skyrocket

July 30, 2009 -- According to a report from CIR, the market for data communications transceivers will grow from $4.2 billion in 2009 to $6.5 billion in 2014.

July 30, 2009 -- According to a report from CIR, the market for data communications transceivers will grow from $4.2 billion in 2009 to $6.5 billion in 2014.

Highlights of the report include the following:

-- Processor speeds have now caught up with the networking power of 10-GbE and as a result 10-GbE will rapidly become a standard requirement on servers. In addition, within a few years the market will see the first 10 GbE-equipped desktop PCs. CIR projects that the 10-GbE market will reach $1.4 billion by 2014.

-- The IEEE's SR standard will remain dominant for most 10-GbE deployments since it is well suited to most data center environments. Similarly, CIR expects the LX4 standard to continue widespread use in legacy vertical riser applications for some time since it is often too expensive to pull in new cabling or redesign equipment for the competing LRM standard. So far the copper "T" standard for 10-GbE has failed to take off because of its huge power consumption. However, "T" will eventually be used for early adopters of 10-GbE equipped desktop PCs.

-- The new regulatory environment for businesses and industry will increase the prospects for storage area networks. As a result, CIR expects the Fibre Channel transceiver market to exceed $1.7 billion by 2014, by which time more than 65 percent of the value of shipment will be accounted for by the new 16 Gbps FC standard.

The report, "Data Communications Transceiver Markets: 2009-2013," provides forecasts of transceivers for Ethernet, Fibre Channel and Parallel Optics at all data rates. A second report addressing the telecommunications transceiver and transponder market is to follow in August.

On the Web:
www.cir-inc.com

More in Network Protocols