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Global Ethernet Switch Market Continues Strong Growth

Ethernet switch market revenue grew 22% year-on-year in Q4 2022 to reach $10.3 billion globally. At the end of the year, this market segment had grown by 18.7%, exceeding 36.5 billion dollars.

Definitely, the switch market and routers are having a sweet time. As for the segment of routers for companies and service providers, it is going through a sweet moment. According to IDC data, revenue from these devices has exceeded $4.6 billion in the last quarter of last year, representing year-on-year growth of 0.7%.

For the year as a whole, revenues from the router market have grown by 3.9% to $16.5 billion.

Ethernet switch market growth of 22% year-on-year in the fourth quarter of last year showed particular strength in data center segments. Higher speed segments continue to experience strong growth, driven by hyperscalers and cloud providers building data center network capacity.

Market revenue for 200/400GbE switches they increased more than 300% for the full year of 2022, but were flat with 0.7% sequential growth in the fourth quarter over the third.

The Ethernet switch market grew by 19.7% in Western Europe in 2022

For its part, 100GbE switch revenues grew 18.7% year-on-year in the fourth quarter and 22.0% for the full year; while 25/50 GbE increased 30.1% in the last quarter and 29.8% for the full year.

From a geographic perspective, the Ethernet switch market experienced growth in most regions of the world. In Western Europe it grew by 25.3% in the fourth quarter of 2022 and by 19.7% throughout the year.

Cisco leads the Ethernet switch market

The service provider segment, which includes both communications and cloud service providers, accounted for 73.7% of total market revenues. For its part, revenues from the business segment represent the remaining market share and increased by 12.9% in the overall year.

By suppliers, revenue from cisco ethernet switches grew 13.4% for the full year, reaching a market share of 43.3% until the end of 2022. Huawei was in second position with a revenue increase of 20% for the overall year and achieving a share market share of 10.3%.

The third position has been for Arista Networks, with revenue growth of 55.4% during the year and a market share of 9.9%.

H3C and HPE took fourth and fifth positions, both achieving a market share of 5.4%.

WLAN market boost

IDC has also released data from the enterprise WLAN market corresponding to the global of 2022, according to which it has experienced a growth of 31% worldwide.

In the fourth quarter of last year alone, revenue from the global wireless local area network (WLAN) market grew 47.9% to $3.35 billion. With this, it closed a year in which it grew by 31.4% year-on-year, reaching 10,000 million dollars.

Wi-Fi 6 and Wi-Fi 6E, the newest standards in the WLAN industry, continue to drive growth in the enterprise segment of the market. Access points dependent on Wi-Fi 6 they grew 36.8% in the fourth quarter compared to the previous quarter.

For his part, Wi-Fi 6Ewhich extends the use of Wi-Fi to the 6 GHz spectrum band, experienced rapid adoption with revenue nearly doubling in the fourth quarter to $209 million.

As far as the consumer segment is concerned, the WLAN market grew 4% year-on-year in the fourth quarter and a slight 0.2% year-on-year. Wi-Fi 6 adoption also continues to rise in the consumer segment, in fact, it accounted for 49.3% of market segment revenue in the fourth quarter of the year.

Cisco has dominated the enterprise WLAN market with a 41.2% market share

The enterprise WLAN market performed generally strong across the globe, although Western Europe grew 52.8% over the full year.

From the provider’s point of view, Cisco has dominated this market segment with revenue growing 33.8% year-on-year throughout 2022, achieving a market share of 41.2%.

HPE-Aruba held the second position with a revenue increase of 50.9% year-over-year and a market share of 14.6%. In third position was Huawei, with revenue growth of 33.6% and a market share of 7.6%. Ubiquiti and H3C have completed this ‘top 5’ of providers with increases in their income of 11.4% and 14.4%, respectively, which has given them market shares of 6.8% and 4.2% each a.

initial image | Thomas Jensen

Related Topics:continues Ethernet global growth market strong switch

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