Data Center Disruptors Report reveals SDN market growth trajectory of more than six-fold increase through 2017

Date: Fri, 11/08/2013 - 16:57 Source: Dell’Oro Group press department

Ethernet switch spending in the enterprise data center to plateau as cloud takes over
Data Center Disruptors Report reveals SDN market growth trajectory of more than six-fold increase through 2017

Alan Weckel, Vice President at Dell’Oro Group

Image credited to Dell’Oro Group

According to the new Data Center Disruptors Advanced Research Report from Dell’Oro Group, the trusted source for information about the networking and telecommunications industry, the Software Defined Networking (SDN) Market will grow more than six-fold over the next five years.  The majority of this market will comprise Ethernet Switches and Network Security Appliances, which are forecast to deliver seventy-five percent of total sales revenue in 2013.
“Almost every major Ethernet Switch vendor with exposure in the data center is announcing significant new products over the next several weeks.  To put perspective on the order of magnitude of the data center equipment market, in 2013 sales will exceed $100 B, split among Servers, Storage, Ethernet Switches, and Data Center Appliances, etc.  We predict a wide variety of manufacturers will engage in battle for the supremacy of data center spending and control,” said Alan Weckel, Vice President at Dell’Oro Group.  “For Ethernet Switching, data center share will become an increasingly important metric for three reasons: almost all revenue growth in the market over the next five years will come from data center products; vendors will have to fight each other for ever-fewer, although larger, deals; and SDN is changing who owns application and network control points,” Weckel stated.
The Dell’Oro Group Data Center Disruptors Advanced Research Report examines the disruptive elements to the Ethernet Switch market in the data center, including SDN, Cloud, Virtualization, and the impact of White Box Switching.  The Report addresses issues such as: the importance of SDN to the data center; the portion of the market attributed to White Box and the effect of the Cloud on Ethernet Switch, Application Delivery Controller and Network Security Appliance Markets.  The report also reveals first half 2013 vendor placement in the data center Ethernet Switch market and how Brocade, Cisco, Dell, Hewlett-Packard, Extreme, Huawei, IBM, and Juniper place in this increasingly important segment.

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