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Ethernet Revenue To Top $10 Billion by 2016

By Daniel Santa Cruz
October 10, 2013 - News

Adoption rates for Ethernet services are soaring thanks to cost-effectiveness, high-bandwidth scalability, availability and flexibility for connecting to cloud and data-center virtualization applications.

That news comes from International Data Corporation (IDC), which says that total U.S. Ethernet revenue will increase from $6.2 billion in 2013 to $10.1 billion in 2016.

Enterprises in all major verticals are using Ethernet services for domestic and international wide area network (WAN) and metro area connectivity, as well as access to other services such as connecting to the Internet, IP VPNs and cloud service providers. The main drivers of Ethernet adoption among U.S. enterprises are high-bandwidth applications such as data-center interconnectivity, disaster recovery/business continuity and data storage replication.

Enterprises rank security as one of the most important features of Ethernet, followed by access to IP VPN along with service monitoring and reporting.

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