Worldwide telecom/datacom equipment hit $107.9B in 2005, will reach $143.5B in 2009, reports Infonetics

May 11, 2006 Campbell, CA -- Worldwide total telecom and datacom equipment revenue totaled $107.9 billion in 2005 and will grow 33% to $143.5 billion in 2009, according to a recent report by Infonetics Research.

According to the report, while wireless broadband and mobile radio access equipment makes up the largest portion of revenue, the expected increase is fueled by phenomenal growth in service provider "next-gen" voice equipment and broadband aggregation and IPTV equipment. Wireless LAN equipment sales are surging as well, reports the firm, but represent a small market overall.

"Three major trends are driving the growth we're seeing in the telecom and datacom market," explains Jeff Wilson, principal analyst at Infonetics Research. "People worldwide are communicating over networks and the Internet via broadband. Carriers are moving to a single converged data network incorporating voice and video along with traditional data. And mobile and fixed wireline networks of data, voice, and video are converging. With all of these changes come increased security concerns, both in carrier and enterprise networks, and all have long-term implications on spending that keep growth in the market relatively high through 2009."

The report's highlights, according to the firm, include:

-- The service provider next-gen voice and IMS market represents 2% of the total telecom/datacom market now, doubling to 4% in 2009, driven by the move to IMS and by fixed-mobile convergence.

-- The IPTV equipment market has a "stunning" CAGR of 99% from 2005 to 2009.

-- Wireless broadband and mobile radio access equipment will slow in 2006 as historically strong spending in GSM/CDMA shifts over to spending on 3G equipment worldwide.

-- Cisco is the revenue-leading vendor "by far" in worldwide telecom/datacom equipment market share, with 19%.

-- Nortel is second and Huawei is third, followed closely by fourth-place Alcatel and fifth-place Siemens.

For more information about the market share and forecast report, "Telecom/Datacom Equipment," visit www.infonetics.com.