Carrier Ethernet Switch/Router Market Grows

Worldwide sales of carrier Ethernet switch/routers (CESRs) grew 5 percent quarter-over-quarter in the second quarter of 2009 to $452 million, according to the Carrier Ethernet Switch/Router Quarterly Market Tracker service published by Heavy Reading, the market research division of TechWeb’s Light Reading.

Heavy Reading projects the global CESR market will continue its recovery in the second half of 2009 to end the year at about $1.8 billion. Prospects appear good for the CESR market to reach $2.78 billion by 2013, due to underlying market fundamentals favoring a shift from legacy Sonet/SDH- and ATM-based networks toward high-performance carrier Ethernet/MPLS-based networks.

"The worldwide CESR market generally demonstrated signs of increased stabilization, with growth in Asia, Latin America, and North America more than offsetting continued weakness in Europe," said Stan Hubbard, Senior Analyst for Heavy Reading and author of the CESR Quarterly Market Tracker, in a statement. "Double-digit sequential revenue growth by No. 3 CESR supplier Huawei and No. 4 ZTE propelled Asia to a new all-time regional quarterly market share high of 38 percent. Meanwhile, Latin America had an impressive triple-digit jump, fueled by a particularly strong performance by No. 2 Alcatel-Lucent in the region.