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Cisco, Avaya Siemens Top Gear-Makers Targeting Enterprises With Services

August 03, 2012 - News

Manufacturers of communications network gear have the opportunity to make $25 billion by selling professional, hosted and managed services to enterprises, including government agencies, according to a new report from Infonetics Research.

"Services already make up a sizeable chunk of manufacturers' overall revenue, and the share of services will grow robustly over the coming years as vendors embrace a holistic approach to technology delivery," said Matthias Machowinski, directing analyst for enterprise networks and video at Infonetics Research.

Machowinski said hosted services comprises one of the key growth segments, now that vendors are offering both CPE and cloud models. To that point, manufacturers providing maintenance, support, professional, managed and hosted services boosted global revenue to $17 billion. That number should grow to $25 billion by 2016.

Cisco, Avaya and Siemens are the top three leaders in this market, Infonetics found.

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