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Worldwide Ethernet Service Revenue Tops $2.5B in 2004, Jumps 276% Between 2005-2009

Posted on: Monday, 9 May 2005, 18:00 CDT

SAN JOSE, Calif., May 9 /PRNewswire/ -- Worldwide Ethernet services revenue topped $2.5 billion in 2004 and is expected to more than double in 2005, then jump another 276% between 2005 and 2009 to $22.2 billion, according to Infonetics Research's latest report, Ethernet Services market size and forecast.

"The Ethernet services market is on fire for several reasons," said Michael Howard, Infonetics Research principal analyst and author of the report. "On the end-user side, many companies are hungry for more bandwidth and many are looking to reduce their WAN costs. Ethernet offers the only way to achieve both due to its superior bandwidth capacities and cheaper prices per bit. Service providers are also looking for ways to connect their various sites with higher bandwidths at cheaper price per bit, and Gigabit Ethernet point-to-point wholesale services meet this demand. And on the equipment side, recent carrier-class improvements have been made to Ethernet products that are enabling service providers to offer new Ethernet services, including those with QoS and SLAs, characteristics of the long-standing private line, frame relay, and ATM services they are now beginning to replace."

2004 Market Highlights

-- Wholesale Ethernet service revenue, much of which comes from

point-to-point Gigabit Ethernet links, accounts for about 25% of all

Ethernet service revenue

-- Revenue from retail Ethernet services (Internet, Ethernet private line,

and transparent LAN services) account for about 75% of all Ethernet

service revenue

-- Asia Pacific accounts for over 40% of total Ethernet service revenue,

EMEA for over 30%, North America for over 20%

The Ethernet Services report includes market size totals, annual revenue forecasts through 2009, and analysis of the Ethernet services market for all regions (worldwide, North America, EMEA, Asia Pacific, CALA), tracking Ethernet service revenue by source (wholesale services to other service providers, retail point-to-point Internet and Ethernet private line services, and the emerging retail point-to-multipoint transparent LAN services), as well as by capacity (1M to 100M separately from above 100M).

For the detailed table of contents, log on to Infonetics Research's Information Portal at http://www.info.infonetics.com/. For sales, contact Larry Howard, vice president, at larry@infonetics.com or 408-583-0011 x335.

Infonetics Research (http://www.infonetics.com/) is an international market research and consulting firm covering the data networking and telecommunications industries in North America, Europe, and Asia. Infonetics helps companies develop, market, and sell products and services by providing objective analysis of end-users, service providers, and product manufacturers.

Available Topic Expert(s): For information on the listed expert(s), click appropriate link. Michael Howard http://profnet.prnewswire.com/ud_public.jsp?userid=507244

Infonetics Research

CONTACT: Michael Howard, Principal Analyst and Co-Founder of InfoneticsResearch, +1-408-583-0011, ext. 351, or michael@infonetics.com

Web site: http://www.infonetics.com/

Source: PRNewswire

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