CenturyLink maintains the top spot in Vertical Systems Group’s (VSG) mid-year 2018 U.S. Carrier Ethernet Services Leaderboard after leapfrogging AT&T in the year-end 2017 ranking.
AT&T is in the No. 2 spot, followed by Verizon, Spectrum Enterprise, Comcast, Windstream and Cox. All of the companies maintained their year-end positions.
CenturyLink’s acquisition of Level 3 Communications, along with continued growth in Ethernet ports for both companies, allowed it to power its way to the top of the year-end ranking.
The leaderboard ranks incumbent telcos in order based on U.S. retail Ethernet port share. VSG calls this an industry benchmark for measuring Ethernet market presence.
“After a flurry of M&A activity during the past two years, the Ethernet marketplace stabilized during the first half of 2018,” said Rick Malone, VSG principal. “U.S. port growth was more than 6 percent for the period, with accelerating deployments of multi-gigabit speed services. Most providers experienced acute price compression across all data rates, partially offsetting the revenue typically generated from higher-speed services. All providers are grappling with longer sales cycles due to SD-WAN, however the impact on the U.S. Ethernet base has been negligible to date.”
Other providers selling Ethernet services in the U.S. are segmented into two tiers as measured by port share. The first, or challenge tier, includes Altice USA, Cogent, Frontier Communications, GTT, Sprint – which is attempting to merge with T-Mobile – and Zayo.
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July 21 2019 @ 13:01:11 UTC