August 8, 2008

Falling Components Costs to Drive Wider 40-Gbit/S Adoption, Report Finds

NEW YORK, Aug. 8 /PRNewswire/ -- Prices for 40-Gbit/s components continue to fall, a development that will drive more telecom equipment manufacturers to bring 40-Gbit/s products to market soon rather than wait for maturation of 100-Gbit/s technologies, according to the latest edition of Light Reading's Components Insider (, a paid research service of TechWeb's Light Reading (

40-Gbit/s Technologies: Lower Costs Will Drive New Demand details and analyzes 40/100-Gbit/s technologies, identifying the key advantages they hold for equipment manufacturers. It also surveys component availability, and profiles and analyzes products from 17 different suppliers in these product sectors:

   -- Data center components (including Infiniband)   -- "40G in a box" systems   -- Long-haul components    
For a complete list of companies covered in this report,

"The cost of 40-Gbit/s interfaces is falling, with semiconductor and optical component vendors introducing new products that deliver better performance and greater integration," notes Simon Stanley, research analyst for Light Reading's Components Insider and author of the report. "There is now a clear market need for higher capacity links. There is a limited deployment of 40 Gbit/s today, but this will change as the cost of 40-Gbit/s components including optical/physical layer devices and packet processing falls."

The window of opportunity for 40-Gbit/s could still be limited by the expected development of 100-Gbit/s technologies, Stanley says. "Vendors must position themselves and agree on common form factors and electrical specifications because 100-Gbit/s interfaces are on the horizon," he explains. "This is a demanding market with high development costs, and few vendors can offer complete solutions across the varied technologies."

Other key findings of 40-Gbit/s Technologies: Lower Costs Will Drive New Demand include the following:

-- 40/100-Gbit/s Ethernet systems are in development, with first products expected within 12 months

-- High development costs are likely to lead to some vendor consolidation in the 40/100G sector

-- Some telecom equipment vendors will continue to wait for 100-Gbit/s Ethernet before committing to new product development

-- High-speed backplane interconnect is on the horizon with the inclusion of the 40GBase-KR4 standard

40-Gbit/s Technologies: Lower Costs Will Drive New Demand provides critical data and analysis for a range of industry participants, including:

-- Suppliers of 40-Gbit/s Ethernet solutions who need independent analysis of expected market demand for their products as well as deeper insight into buyer plans for product deployments

-- Telecom equipment vendors looking for quantitative assessments of how their competitors will be using 40-Gbit/s and 100-Gbit/s Ethernet in the coming months and years

-- Investors needing a better understanding of the 40/100-GE sector, and which suppliers are best positioned for success

40-Gbit/s Technologies: Lower Costs Will Drive New Demand is available as part of an annual subscription to Light Reading's Components Insider, priced at $1,295. Individual reports are available for $900.

To subscribe, or for more information, please visit: For more information about other Light Reading Insider services, please visit:

To request a free executive summary of the report, or for details on multi-user licensing options, please contact:

    Jeff Claudino    Director of Sales    Insider Research Services    619-229-9940    [email protected]     Press/analyst contact:     Dennis Mendyk    Managing Director    Insider Research Services    201-587-2154    [email protected]     About Light Reading  

Founded in 2000, Light Reading ( is the ultimate source for technology and financial analysis of the communications industry, leading the media sector in terms of traffic, content, and reputation. It reaches an extensive audience of executives and technologists within the telecom and enterprise networking communities, as well as the financial/industry analysts and investors who track these sectors. Light Reading was acquired by United Business Media in August 2005, and operates as a unit of UBM.

About TechWeb

TechWeb (, the global leader in business technology media, is an innovative business focused on serving the needs of technology decision-makers and marketers worldwide. TechWeb produces the most respected and consumed media brands in the business technology market. Today, more than 13.3 million* business technology professionals actively engage in our communities created around our global face-to-face events Interop, Web 2.0, Black Hat and VoiceCon; online resources such as the TechWeb Network, Light Reading, Intelligent Enterprise,,, and The Financial Technology Network; and the market leading, award-winning InformationWeek, TechNet Magazine, MSDN Magazine, Wall Street & Technology magazines. TechWeb also provides end-to-end services ranging from next-generation performance marketing, integrated media, research, and analyst services. TechWeb is a division of United Business Media, a global provider of news distribution and specialist information services with a market capitalization of more than $2.5 billion.

* 13.3 million business decision-makers: based on # of monthly connections

Light Reading's Components Insider

CONTACT: To request a free executive summary of the report, or fordetails on multi-user licensing options, contact Jeff Claudino, Director ofSales of Insider Research Services, +1-619-229-9940, [email protected];or press-analyst contact, Dennis Mendyk, Managing Director of Insider ResearchServices, +1-201-587-2154, [email protected]

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