Cisco leads carrier switch and router market

CALIFORNIA, USA: Combined worldwide revenue from service provider IP edge routers, IP core routers, carrier Ethernet switches, and multiservice ATM switches declined five percent in the first quarter of 2010 from the previous quarter, to $2.95 billion, in what is typically a down quarter for this market. Year-over-year (1Q09 vs. 1Q10), the overall market is up 14 percent.

This is according to market research firm Infonetics Research's first quarter 2010 (1Q10) service provider routers and switches and market share and forecast reports.

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Michael Howard, co-founder and principal analyst, carrier and data centre networks, Infonetics Research, said: “Cisco is on a roll, bumping up their service provider IP core and edge router revenue by six percent in the first quarter of 2010 compared to the previous quarter, and up 33 percent compared to the first quarter of 2009."

"Smaller players Tellabs and NEC posted gains in the IP router segment, while many other vendors, notably Alcatel-Lucent, Ericsson, and Huawei, posted revenue declines. Both Alcatel-Lucent and Ericsson noted supply problems with components and parts.”

The North American carrier router and switch market actually gained a bit in 1Q10, with manufacturer revenue up 1.5 percent, on the heels of an 18 percent gain in 4Q09.

Compared to this time last year, the service provider switch and router market in North America is up 29 percent.

Carrier Ethernet switch revenue was up eight percent in 1Q10 from 4Q09, and is up 22 percent year-over-year (from 1Q09).