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Dell'Oro Groups Predicts Move to NBASE-T Ethernet Switches

February 22, 2017

There are certain companies that, when they talk, everyone else listens. One such company is Dell’Oro Group, which is a market research firm known for its strategic competitive analysis in the telecommunications, networks and data center IT markets. The company offers in-depth quantitative data and qualitative analysis to help promote critical, fact-based business decisions.

Most recently, Dell’Oro Group has stated that enterprises are looking to upgrade their Campus networks to NBASE-T Ethernet Switches and Wave 2 Wireless LAN. This prediction is based off of several factors, including data and analytics surrounding market shipments.

Tam Dell'Oro, President of Dell'Oro Group, cited some of the facts that helped Dell’Oro Group come to this conclusion by saying, “Despite the limited availability of products, market shipments of NBASE-T in the second half of 2016 surged…We interpret these results as a reflection that Enterprise users are hungry for multi-gigabit bandwidth to support the traffic from their wireless devices. The confluence of widespread availability of NBASE-T Ethernet switches are now matching the widespread availability of 802.11ac Wave 2 Wireless LAN products. Both go hand-in-hand to reduce frustration of mobile users in the Enterprise.”

The company has high hopes for 2017 in terms of increased use of NBASE-T Ethernet Switches and Wave 2 Wireless LAN. Dell’Oro continued, “Looking at 2017, we have raised our forecast as we predict NBASE-T port shipments will proliferate, eclipsing 5 M ports, as merchant silicon-based switches come to market. This is about one year after Cisco Systems and Hewlett Packard Enterprise began shipping products based on their own ASICs.”

Additionally, the Dell’Oro Group thinks the preference will continue into 2018, with Dell’Oro saying, “By later this year and into early 2018, we expect the massive annual shipment levels of 1 Gbps to peak, then begin to decline, as users migrate their Campus networks.”

From the looks of it, it seems as though most enterprises will be experiencing an upgrade to their systems sometime in the near future. With the majority of enterprises looking to switch to NBASE-T Ethernet switches and Wave 2 Wireless LAN, those who don’t invest in multi-gigabit bandwidth may find that they fall behind the competition, given that their traffic from their wireless devices won’t be nearly as supported. 

Edited by Maurice Nagle

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