Cloud, Virtualization Drive Sales of Data Center Equipment

Virtualization and the cloud are driving data center network equipment sales, according to two new reports from Infonetics Research.

In fact, 2010 marked a banner year for data-center gear, thanks to demand for off-site storage of information and content. The resurgence came after a bare-bones 2009,” said Matthias Machowinksi, directing analyst for enterprise networks and video at Infonetics, and promises to continue.

For 2011, we expect tempering but still robust growth in sales,” Machowinski said. And IT channel partners should take note: The biggest opportunity, Machowinski added, is in helping companies grow their data center infrastructure sustainably, such as through the use of products that dramatically increase price-to-performance or improve management in highly virtualized environments.”

To that point, enterprises in North America plan to boost their data center infrastructure spending by an average of 25 percent this year alone, Infonetics found. Cloud technologies will play a major role in this expansion.

Meanwhile, when it comes to connection speeds, end users are most interested in 100 Gigabit Ethernet over 40 GigE, despite the lack of 100 GigE products. So far, Cisco Systems Inc. leads the data center Ethernet switching market with more than 80 percent share, said Infonetics.

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