Ovum-RHK: Global service provider switching and routing equipment sales up 14% in 2Q07

AUGUST 13, 2007 -- IP and Ethernet transport and services spending grew 27% and 23% respectively over last year, say Ovum-RHK analysts.

AUGUST 13, 2007 -- Ovum-RHK (search for Ovum-RHK) today posted its analysis of global second quarter 2007 service provider switching and routing equipment sales. Sales in 2Q07 grew to $2.6 billion overall, a 14% increase compared to one year ago, say analysts.

"Alcatel-Lucent continued its strong IP/MPLS growth, Juniper networks looks to be making a turn around, and Cisco returned to expected revenue levels," reports Mark Seery, vice president, Switching and Routing, at Ovum-RHK. "Both IP and Ethernet over MPLS continue to grow strongly, driven by NGN service transformation and the move to packet-based wireline and wireless networks," he adds.

2Q07 highlights for technology-focused market segments include:
• IP/MPLS core = $595 million, up 27 percent versus 2Q06;
• IP/MPLS edge = $1,268 million, up 29 percent versus 2Q06; and
• IP/Ethernet = $430 million, up 11 percent versus 2Q06.

2Q07 highlights for application-focused market segments include:
• IP transport and services = $1,272 million, up 27 percent versus 2Q06;
• Ethernet transport and services = $906 million, up 23 percent versus 2Q06; and
• Subscriber services/BRAS = $248 million, up 4 percent versus 2Q06.

Details of the 2Q07 results and additional analysis have been published by Ovum-RHK's Switching and Routing service, which provides quarterly analysis and annual forecasts of equipment sales for North American, European, and Asian network operators.

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