Competitors Gain Business Ethernet Share, Report Finds

Competitive providers and cable MSOs gained U.S. Ethernet port share from incumbents in the first half of 2010, continuing a trend that began in the second half of last year, according to the latest Vertical Systems Group research on enterprise installations.

According to the research firm, the top 9 providers ranked in order by port share are AT&T Inc., Verizon Communications Inc., tw telecom inc., Cox Communications, Qwest Communications International Inc., XO Communications Inc., Time Warner Cable, Cogent Communications Inc. and Level 3 Communications Inc. These Leaderboard companies hold 4 percent or more of the market based on retail port installations.

“Incumbents AT&T and Verizon showed solid performance and remain at the top of the U.S. Ethernet Leaderboard, however the competitive provider segment generated the highest port growth during the first half of 2010,” said Rick Malone, principal at Vertical Systems Group. “Our analysis shows that this is a healthy broadening of market competition, rather than an indication of trouble for Incumbents.  We’re seeing more Tier 2 providers and cable MSOs exploiting their footprints and intensifying their efforts to sell Ethernet services to enterprise customers.”

Verticals Mid-2010 Ethernet port share analysis also found that the business Ethernet port base in the United States expanded more than 13 percent in the first six months of 2010.

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