According to Q3 data from Synergy Research Group, Cisco (NASDAQ:CSCO) maintains a strong market lead in both video infrastructure software and hardware, with its worldwide share of revenues approaching 20% in both segments. A different group of vendors compete in the two segments, but ARRIS (NASDAQ:ARRS) comes the closest to competing with Cisco across the board, being ranked second in hardware revenues and third in software. ARRIS has also been gaining market share at Cisco's expense. NAGRA and Rovi round out the list of top software vendors, while Pace and Technicolor are ranked third and fourth in hardware revenues.
Quarterly revenues for video infrastructure hardware and software grew by 8% year on year to exceed $10 billion, with hardware revenues growing marginally more rapidly than software revenues. Revenues from hardware remain several times larger than software revenues.
The research house says that over the last four quarters, the highest growth segments have been CCAP, cloud DVR software, TV Everywhere software, streaming media devices, and search and recommendation software.
