Carrier Ethernet Switch/Router Market on Pace to Grow Nearly 20% in 2008, Heavy Reading...

Carrier Ethernet Switch/Router Market on Pace to Grow Nearly 20% in 2008,
Heavy Reading Reports
Alcatel-Lucent, Extreme Drive Market With Strong Double-Digit Growth in 1Q08

NEW YORK, June 16 /PRNewswire/ -- Worldwide sales of carrier Ethernet
switch/routers rose 4% quarter-over-quarter and 26% year-over-year in the
first quarter of 2008 to reach $530 million, according to the latest Carrier
Ethernet Switch/Router Quarterly Market Tracker published by Heavy Reading
(www.heavyreading.com), the market research division of TechWeb's Light
Reading (www.lightreading.com).
"Seven out of the 12 CESR suppliers that we follow in the CESR Quarterly
Market Tracker increased sales sequentially in 1Q08, as communication service
providers in every region of the world stepped up investments in Ethernet as
the network technology of choice for metro transport and aggregation," says
Stan Hubbard, Senior Analyst at Heavy Reading.
"The CESR market is on track to grow from $1.9 billion in 2007 to nearly
$2.3 billion in 2008, but macroeconomic headwinds, especially in the U.S.,
have caused us to be more conservative about long-term market growth," notes
Hubbard. "We have reduced our forecast by several hundred million dollars, to
$4.3 billion in 2012, despite continued weakness in the U.S. dollar, which has
tended to inflate the size of the market versus what it would be if measured
in euros, pounds, or yen."
Fueled by 20% sequential growth and many new customer wins in recent
quarters, No. 2 vendor Alcatel-Lucent continued to regain CESR ground and
closed 1Q08 with a 22% market share. Market leader Cisco maintained a
comfortable market share lead but ended down a point at 53%. This was the
second quarter in a row in which Cisco's CESR sales declined, according to
Heavy Reading estimates.
Other vendors rounding out the top five market share positions in 1Q08
include: No. 3 Foundry, No. 4 Hitachi Cable, and No. 5 Huawei. No. 6 Extreme
recorded the fastest quarter-over-quarter growth of any vendor, due to a pop
in European sales.
Heavy Reading's Carrier Ethernet Switch/Router Quarterly Market Tracker
delivers a complete accounting of telecom equipment manufacturer revenues in
CESR sector, including quarter-by-quarter revenue and market share breakouts
for each supplier, sales by geographic region and application, and revenue
projections through 2012 by region and application. The quarterly tracking
service also analyzes each vendor's market strategy and identifies and
analyzes customer wins, providing granular insight into this emerging market
sector unavailable from other sources. It provides a comprehensive list of
more than 260 operators and other entities around the world that have
purchased CESR platforms.
The Heavy Reading report analyzes 15 vendors that are now generating sales
from CESR products or that plan to roll out CESR products. Equipment vendors
examined include Alcatel-Lucent, ANDA Networks, Ciena, Cisco Systems, ECI
Telecom, Ericsson, Extreme Networks, Foundry Networks, Hitachi Cable, Huawei,
Juniper Networks, MRV Communications, Nokia Siemens Networks, Nortel Networks,
and Tejas Networks.
The Carrier Ethernet Switch/Router Quarterly Market Tracker is distributed
in PowerPoint and Excel formats. Quarterly reports may be purchased
individually or as part of an annual subscription service.
For more information, or to receive a free PowerPoint demo of the Carrier
Ethernet Switch/Router Quarterly Market Tracker, please contact:
Dave Williams
Sales Director, Heavy Reading
858-485-8870
dave.williams@heavyreading.com

Press/analyst contact:
Dennis Mendyk
Managing Director, Heavy Reading
201-587-2154
mendyk@heavyreading.com

About Heavy Reading
Heavy Reading is an independent market research organization offering
quantitative analysis of telecom technology to service providers, vendors, and
investors. Its mandate is to provide the comprehensive competitive analysis
needed today for the deployment of profitable networks based on
next-generation hardware and software.
About TechWeb
TechWeb (techweb.com/aboutus), the global leader in business technology
media, is an innovative business focused on serving the needs of technology
decision-makers and marketers worldwide. TechWeb produces the most respected
and consumed media brands in the business technology market. Today, more than
13.3 million* business technology professionals actively engage in our
communities created around our global face-to-face events Interop, Web 2.0,
Black Hat and VoiceCon; online resources such as the TechWeb Network, Light
Reading, Intelligent Enterprise, InformationWeek.com, bMighty.com, and The
Financial Technology Network; and the market leading, award-winning
InformationWeek, TechNet Magazine, MSDN Magazine, Wall Street & Technology
magazines. TechWeb also provides end-to-end services ranging from
next-generation performance marketing, integrated media, research, and analyst
services. TechWeb is a division of United Business Media, a global provider of
news distribution and specialist information services with a market
capitalization of more than $2.5 billion.
* 13.3 million business decision-makers: based on # of monthly connections
SOURCE Heavy Reading

Dave Williams, Sales Director, Heavy Reading, +1-858-485-8870,
dave.williams@heavyreading.com; Press, Dennis Mendyk, Managing Director, Heavy
Reading, +1-201-587-2154, mendyk@heavyreading.com