Ethernet Switch, Router Market in India Sees 20 Percent Growth: IDC

Calendar year 2014 was one of the best years for the networking market (local area network and wireless local area network included) in India with over 20 percent growth year on year, it said in a report released here, adding that a similar pattern is expected in 2015 which will draw boost from government initiatives and organisations willing to invest in future technologies.

"Government initiatives and increasing adoption of third platform by the enterprises is pushing the need for smart network solutions that can sustain the growth of unstructured network traffic. Upcoming verticals like e-commerce, healthcare and hospitality along with traditional ones are expected to drive future investments," said Gaurav Sharma, research manager, enterprise computing, IDC India.

The ethernet switch market clocked end-revenue of $124 million (roughly Rs. 787 crores) during the first quarter of 2015, with a slight decrease quarter on quarter (-0.8 percent) but an impressive growth of 15.1 percent year on year.

The router market stood at a total of $69.4 million (roughly Rs. 441 crores), dipping 13.6 percent year on year and three percent quarter on the quarter.

According to IDC, organisations are increasingly taking interest in the third platform technologies to leverage its benefits in workforce optimisation, supply chain, customer experience and efficient resource utilisation.

It also said that the IP-based security-surveillance market is also likely to take a faster route giving vendors, small or big, an opportunity to grow.

Further, the small and medium businesses (SMBs) are likely to offer similar growth to the market and the verticals, like any other traditional segment to benefit from mobility and network optimisation solutions, it added.

According to the report, Cisco retained its dominance in the switch and router market, increasing its revenue quarter on quarter as well as year on year.