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C4 is Making a Blast in the Australian Networking Equipment Market, Says IDC

  • 21 August, 2008 10:29

<p>Sydney, 21 August 2008. The networking equipment landscape is full of innovative and exciting product development that is seeing a technology revolution taking place across both the consumer and business markets, a new IDC report has found.]</p>
<p>The new report, titled Australian Networking Equipment 2008-2012 Forecast and Analysis: Convergence, Consolidation, Centralisation, and Consumerisation, found this revolution is driven by the emergence of newer and smarter technologies, greater network capacities, and refreshed network architectures. IDC’s research also showed that the Australian networking equipment market saw a healthy growth of 19% in 2007.</p>
<p>"The overall market can be described in many words, but convergence, consolidation, centralisation, and consumerisation (C4) are the most appropriate. C4 is a movement within the industry, which has several overlapping layers and is driven by multiple technologies; but most importantly, it seeks to provide a better return on investment (ROI), lower total cost of ownership (TCO) and simpler ease of use across the entire ICT infrastructure," said Jamie Jin, Market Analyst, Network Technologies, IDC Australia.</p>
<p>The report also found that:
·New datacentre installations (datacentre 2.0), enterprise converged networking, consumer adoption of broadband modems/routers, and increased deployment of wireless LANs (WLAN) across the consumer and enterprise sector brought solid growth to the networking equipment market in 2007.</p>
<p>·Compared to the same quarter in 2006, IDC’s Australia 4Q07 LAN tracker revealed that the total switch and router market grew 18% to reach US$912.8 million in 2007. Switch revenue was US$573.3 million and router revenue was US$339.5 million. The growth of the router and switch market from 2006 to 2007 was 15.7% and 19.8%, respectively.</p>
<p>·As the core network upgrades for both Telstra and Optus are now complete, it is unlikely that the market can sustain such strong growth going forward.</p>
<p>·The Gigabit switch market, which contributes to 72% or US$414 million of the total switch market revenue, was the key technology driver in 2007, growing strongly at 98% year over year (YoY).</p>
<p>·In 2007, the WLAN market grew to 23% from US$110.11 million in 2006 to US$136.73 million, which was slightly higher than the IDC 2006 forecast. Wireless routers/gateways revenues increased 19% in 2007, delivering US$70.9 million and contributing to 50% of the total WLAN market.</p>
<p>On IDC’s website,, this media release relates to document #AU201203Q, Australian Networking Equipment 2008-2012 Forecast and Analysis: Convergence, Consolidation, Centralisation, and Consumerisation.</p>
<p>This report is now available. To purchase this report, please contact Lady Gueco, Business Development Manager on +61 2 9925 2261 or</p>
<p>For press enquires please contact:
Dr. Jamie Jin
Market Analyst, Network Technologies
+61 2 9925 2242</p>
<p>Sally Taylor-Phillips
Marketing Communications Manager, IDC
+61 2 9925 2234</p>
<p>About IDC</p>
<p>IDC is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. IDC helps IT professionals, business executives, and the investment community make fact-based decisions on technology purchases and business strategy. More than 1000 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends covering over 110 countries worldwide. For more than 44 years, IDC has provided strategic insights to help our clients achieve their key business objectives. IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. You can learn more about IDC by visiting or</p>
<p>During 2008, IDC is celebrating its 30th birthday in Australia.</p>

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