|Posted on 20 July, 2014 at 19:40|
According to Infonetics Research the cumulative value of the Telecom and Datacom equipment and software market over 5 years to 2018 will exceed USD 1 Trillion. Half the total spend will be with the five largest vendors: Cisco, Huawei, Ericsson, Alcatel-Lucent and ZTE. (source: Infonetics Research)
The global telecom and datacom equipment and software market reached USD 183 Million in 2013 and will continue to grow steadily with the industry move towards SDN and NFV technologies.
While the growth in telecom and datacom equipment and software spend is about a cumulative 20% over the five years, the growth in telecom traffic is forecast to be much more substantial, with a threefold growth in global Internet traffic forecast over this time period, and much higher growth rates forecast for both the mobile network traffic and the cloud data center traffic.
The move to the new SDN and NFV technologies is seen as a major factor in more efficiently scaling networks in a cloud-like virtualisation approach to networks and thereby stabilising the telecom Capex spend in the face of rapid traffic growth.