The vro market will double in the next year
According to IHS Infonetics's latest series of reports, the global network market shows uneven performance in various fields. For example, the global data center network [note] device market revenue in first quarter of 2015 was only $2.6 billion, down fourth quarter of 2014 from 14%. However, in the first quarter of this year, the bare metal exchange market showed vitality, with port shipments increasing by 12% year on month.
Cliff Grossner, data center, cloud, and SDN research manager of IHS, said: "open networks allow everyone to participate in innovation because they use open-source software and open-source hardware design, so it is bringing changes to the network, just as the open source movement has changed the server and OS market."
According to the market partition, The Global operator router and switch market revenue in first quarter of 2015 was $3.3 billion, down 13 percentage points from the previous month.
IHS Infonetics's latest forecast for the market zone is a compound annual growth rate of 2014 from 2019 to 2.1%. Despite the slowdown in the overall vro market, one of the highlights of the market segment is the virtual router. IHS predicts that the vro market will soar by 2015 between 2016 and 125%.
Michael Howard, Senior carrier network research manager at IHS, said: "The operator plans to transfer more services to edge routers and NFV [note] servers, transfer more man functions and transmission functions to the group optical fiber transmission system (P-OTS) Up (+ this site networkworldweixin ), however, this does not mean that enterprises' spending on routers and switches will fall sharply in the next five years. In fact, revenue growth in this area will only slow down ."
IHS also reported the NFV deployment plan of global operators and found that 35% of carriers have developed the NFV deployment plan this year.
"Although we are still in the initial phase of migrating to a NFV-SDN Architecture Network, there were already many operators moving from the conceptual verification and laboratory evaluation phase to the commercial deployment phase in 2015," Howard said. Carriers generally believe that NFV and SDN will bring fundamental changes to the telecom network architecture and bring huge benefits in service agility and new revenue streams, at the same time, it will significantly improve operational efficiency and save on capital expenditures."