DAILY NEWS AND INFORMATION FOR THE GLOBAL GRID COMMUNITY /    ( Table of Contents )

Breaking News - Networking:

Enterprise Router Market Up 8 percent To $1 Billion In 1Q04

Fuelled by the healthy secure router segment, worldwide total enterprise router revenue totaled $1 billion in 1Q04, up 8 percent from 4Q03, and annual revenue is projected to grow 13 percent between 2003 and 2007, according to Infonetics Research's Enterprise Routers quarterly worldwide market share and forecast report.

"While the overall enterprise router market will experience relatively mild growth over the next four years, the secure router market will increase significantly," said Neil Osipuk, directing analyst of Infonetics Research and lead author of the report. "Cisco continues to lead by a long shot in the secure router space, but it will only take one vendor with extremely disruptive pricing and a little traction to impact the entire market."

1Q04 market share highlights include:

• Cisco is the revenue market share leader in the worldwide enterprise router market; Linksys (acquired by Cisco but still reporting numbers separately) is in second place for revenue but first in unit market share.

• D-Link is in third place for worldwide revenue market share, followed by NETGEAR.

• Worldwide high-end enterprise router revenue was up slightly and unit shipments increased 17 percent from 4Q03; North America saw declines in shipments and revenue while EMEA and Asia Pacific saw double-digit growth.

• Worldwide mid-range enterprise router revenue increased 21 percent and unit shipments increased 20 percent from 4Q03; revenue increased in all regions, with particularly strong growth in EMEA; unit shipments are projected to grow 74 percent between 2003 and 2007.

• Worldwide low-end/SOHO enterprise router revenue was down 18 percent and unit shipments were flat from 4Q03; EMEA had solid unit growth and Asia Pacific moderate unit growth during the quarter, while North America experienced a soft quarter.

Enterprise Routers tracks wired broadband gateways and standard and secure high-end, mid-range and low-end/SOHO routers. Forecasts and regional market share are updated quarterly and cover all regions (worldwide, North America, EMEA, Asia Pacific and CALA).

Companies tracked in this service include 3Com, ADTRAN, Allied Telesyn, Cisco, D-Link, Enterasys, Huawei, Juniper, Linksys, Lucent, NETGEAR, Nortel, Siemens, Tasman, Vanguard and others.