Hyperscale data centers are pushing the limits in the Gigabit Ethernet switching market


For the first time since their debut on the market in the mid-2000s, 10 Gigabit Ethernet switches are set to lose share in the networking industry this year as service providers and hyperscale customers continue to adopt faster bandwidth 40 and 100 GbE switches, according to data from research firm IDC.

IDC estimates that last year 10 GbE revenues stood at $6.15 billion, up from $5.44 billion in 2015. This year, IDC predicts 10 GbE switching revenues will fall to $5.94 billion.

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Meanwhile, 40 GbE switches are continuing to gain steady market share. In 2015, 40GbE switch revenue stood at $2.3 billion; last year it grew to $2.69 billion, and this year IDC predicts it will climb to around $2.74 billion.

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