Global Ethernet Switches Industry growth, strategies and forecast 2026


Posted October 1, 2020 by rohit890

An Ethernet switch is a multiport LAN interconnection device that supports large number of segments in a packet switching network
 
Market Overview

An Ethernet switch is a multiport LAN interconnection device that supports large number of segments in a packet switching network. It logically divides the traffic towards the segment between the source and destination, which allows for efficient utilization of bandwidth. Along with efficient routing the other benefits of Ethernet switches are increased security as data is routed only to the desired destination, better management, and ability to use some links in full duplex.

Advancements in technology such as big data and cloud computing, is increasing the accessibility to internet for personal purpose, commercial as well as industrial purposes. For IT organizations, big data is used for purposes other than for deploying new application or software, such as Hadoop. These advancements increase the demand for new system designs, administrative skills, and data management strategies in the IT domain. Cloud data applications, including Hadoop, Big Data applications, are distributed applications running on server clusters with many-to-many communication patterns. The key to achieving predictable performance for these distributed applications, is to provide consistent network bandwidth and latency to various traffic flows. This in turn, increases the demand for Ethernet switches, thus boosting growth of the Ethernet switches market.

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Market Dynamics

North America held the largest market share in 2017 and is projected to retain its dominance throughout the forecast period (2018-2025) owing to rapid urbanization and increasing adaptation of advanced technologies in the region. Countries in the region, such as the USA and Canada are major growth engines for the market due to rapid adoption of new and advanced technologies in these countries. For instance, according to a fact sheet drafted by Pew Research Center, the percentage of adults in U.S. between the age group of 18-29, 30-49, 50-64, and 65+ using internet service was 98%, 97%, 87%, and 66%, respectively. Also, as per the statistics given by International Telecommunication Union, 94% of the youth in developed economies use internet. In order to provide uninterrupted services to such a huge population base is fueling the demand for high speed and efficient networks, leading to the growth of Ethernet market.

Asia Pacific market is expected to grow with the highest CAGR in the forecast period (2018-2025). India, China, Japan are some of the major economies which drive the market in this region. The high-scale network infrastructure modernization of residential and commercial applications is expected to drive growth of the Ethernet switch market. According to IBEF, wireless telecom subscription accounts for 98.04% of the total telephone subscription in India, out of which 56.67% resides in the urban areas. Also, according to a survey conducted by Malaysian Communications and Multimedia Commission (MCMC), the number of internet users was 76.9% in 2016, accounting for around 24.5 million users, which was an increase from 24.1 million in 2015. Increasing number of internet users is expected to surge growth of the market for Ethernet switches.

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Major players operating in the global Ethernet switch market include Cisco, Huawei Technologies, HP Enterprise, Arista Networks, New H3C Group, HPE, Juniper Networks, NEC, Lenovo, and Dell.

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Issued By coheent market
Country India
Categories Advertising , Blogging , Industry
Last Updated October 1, 2020