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Light Reading: Networking the Telecom Industry

Carrier Ethernet Industry Voices

Ethernet Academy Industry Voices


Jul 03
2010

US Enterprises & Consumers To Spend >$37 billion Over Next 5 Years

Posted by Kirby Russell in mobile backhaulmetro ethernet forumInsight Researchinfoneticscarrier ethernet

Kirby Russell

 

According to a new market research study from The Insight Research Corporation, Ethernet services readily available from virtually all major data service providers,the market is expected to grow at a compounded rate of almost 25%, increasing from $3.1 billion in 2010 to reach nearly $9.7 billion by 2015. 

US enterprises and consumers are expected to spend more than $37 billion over the next five years on Ethernet services provided by carriers.

Insight is projecting that the surge in demand will peak by 2011 as the economy improves Ethernet revenue growth rate will hit 29% on a compounded annual basis.

Another area of growth is Mobile backhaul equipment spending which increased by 21% in 2009, to $7.2bn worldwide, according to Infonetics.

Wire line service providers are heavily investing in Carrier Ethernet for a variety of applications, including inter-connecting their own points of presence (POPs) and aggregating traffic from DSLAMs. Mobile back-haul is expected to be the second most popular application driving investment by service providers in Carrier Ethernet.

 

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