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The US public Ethernet
services market is expected to grow from $940 million in 2006 to over $5 billion
in 2012, according to a new market research study from The Insight Research
Corporation. With metro-area Ethernet services now available from virtually all
major data service providers and wide-area Ethernet about to get a shot in the
arm from the dominant carriers, the market is poised to take off.
According to Insight
Research’s market analysis study, “Public Ethernet Services 2007‑2012,” the term
“public Ethernet” refers to any Layer 2 public network carrier service that
extends Ethernet beyond the LAN and connects to customers through Ethernet
interfaces. Public Ethernet may be marketed as transparent or native LAN,
Ethernet, Gigabit Ethernet, GigE, metro Ethernet, Ethernet private line (EPL),
Ethernet virtual private line (EVPL), Layer 2 virtual private network (VPN),
Ethernet access, virtual private LAN service (VPLS), or a variety of other
names.
Until recently, public
Ethernet services were generally referred to as “metro Ethernet” and the largest
portion of sales had been between points within a metropolitan area. This is
expected to change in 2007, however, as major incumbents—particularly AT&T and
Verizon—introduce long-haul Layer 2 VPNs.
“Insight’s research
suggests that the many-to-many E-LAN service will be the fastest growing part of
public Ethernet because the economic advantages of Ethernet actually increase
exponentially (as opposed to proportionally) in relation to the number of points
connected,” says Robert Rosenberg, president of Insight Research. “And though we
expect to see an accelerating pace of Ethernet adoption across the board, we are
not ready to predict that Ethernet is ready to ‘take over the world.’ Generally
speaking, private line and frame relay customers are not ready to or interested
in deserting longstanding services, so the migration to Ethernet is going to be
slow and steady,” Rosenberg concluded.
“Public Ethernet Services
2007-2012” examines public Ethernet market spending and usage patterns by
topology (E-line, E-LAN, and access), regional domain (metro, wide-area, and
access), retail/wholesale, and various bandwidth levels.
An
excerpt of this public Ethernet services market research report, table of
contents, and ordering information are online
http://www.insight-corp.com/reports/PES07.asp. This
145-page report is available immediately for $3,995 (hard copy). Electronic
(PDF) reports can be ordered online.
For more information please
contact:
Ms. PJ Conger, Marketing Director
973-541-9600
pj@insight-corp.com |
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The Future of Telecommunications 2006-2011 |