Data center Ethernet switch bandwidth continued rapid climb in 2022 as prices fell: Crehan Research

April 11, 2023
The repeat of the “doubling every two years” cycle led Ethernet networking bandwidth shipped in 2022 to be 350X larger than 2008 levels, says Crehan Research.

Last year closed another two-year period in which data center Ethernet switch networking bandwidth shipments doubled, according to a new report from Crehan Research Inc. The steep climb in bandwidth shipments coincides with an nearly equally precipitous drop in bandwidth pricing, the market research firm states.

The repeat of the “doubling every two years” cycle led Ethernet networking bandwidth shipments in 2022 to be 350X larger than 2008 levels, says Crehan Research. Meanwhile, prices over the same period have shrunk 100-fold (see charts above). Ethernet switch shipments and revenue also both grew by rates in the teens last year, the market analysts add. These 2022 figures marked new record highs for both parameters.

“On one side, we have this constant need for higher networking bandwidth – with the latest new driver being AI – which is incremental to video, storage, mobile, big data, cloud etc., while on the other side, that demand is fulfilled by all the advancements in the switch silicon, processors and software,” said Seamus Crehan, president of Crehan Research. “And on top of that, the vendors in the data center Ethernet switch ecosystem have consistently brought increased value to customers by dependably delivering more bandwidth at much lower prices.”

Crehan Research produces reports with statistics and information on the data center switch and server-class adapter and LOM/controller (NIC) markets. The company’s reports are supported with insights and context to deliver increased value.

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About the Author

Stephen Hardy | Editorial Director and Associate Publisher, Lightwave

Stephen Hardy is editorial director and associate publisher of Lightwave and Broadband Technology Report, part of the Lighting & Technology Group at Endeavor Business Media. Stephen is responsible for establishing and executing editorial strategy across the both brands’ websites, email newsletters, events, and other information products. He has covered the fiber-optics space for more than 20 years, and communications and technology for more than 35 years. During his tenure, Lightwave has received awards from Folio: and the American Society of Business Press Editors (ASBPE) for editorial excellence. Prior to joining Lightwave in 1997, Stephen worked for Telecommunications magazine and the Journal of Electronic Defense.

Stephen has moderated panels at numerous events, including the Optica Executive Forum, ECOC, and SCTE Cable-Tec Expo. He also is program director for the Lightwave Innovation Reviews and the Diamond Technology Reviews.

He has written numerous articles in all aspects of optical communications and fiber-optic networks, including fiber to the home (FTTH), PON, optical components, DWDM, fiber cables, packet optical transport, optical transceivers, lasers, fiber optic testing, and more.

You can connect with Stephen on LinkedIn as well as Twitter.

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