According to a recently published report by Dell’Oro Group, the global service provider market is projected to top $11.5 billion in four years.
The service provider market includes core and edge routers while the report also examined the enterprise router market.
“We expect much of the growth to be driven by continued demand for routers used in mobile backhaul and IP backbone networks,” said Alam Tamboli, senior analyst at Dell’Oro Group. “For mobile backhaul, operators in Asia and Europe will continue to invest heavily in their LTE mobile networks and associated routers as they compete for subscribers.
“For core routers, operators will evaluate recently introduced platforms that offer much higher capacity than the previous generations. Today some core router platforms offer 10-fold the capacity per rack versus what was available just five years ago. Operators are expected to upgrade their core router platforms to significantly increase their backbone capacity at a much lower cost per bit transmitted.”
