Dell'Oro: Core revenue router market to rise to $3.4B in 2018

With many service providers nearing exhaust of Internet backbone capacity and scale on their existing platforms, a perfect storm for service provider core routing growth is emerging.

A new Dell'Oro report forecasts that ongoing core router product upgrades with higher speed ports and an increase in traffic in the metro network will drive the worldwide service provider core market to more than $3.4 billion by 2018.

"With continued growth in IP traffic demand, many service providers are coming closer to exhausting Internet backbone capacity and scalability on their aging core router platforms," said Alam Tamboli, business analyst at Dell'Oro Group. "With recently introduced products that meet these higher capacity needs, service providers are likely to perform a product upgrade cycle over the next couple of years after comprehensive testing and trials."

"The growth of traffic in metro area networks is expected to outpace that of traffic in backbone networks due to a shift in IP traffic patterns related to content delivery networks and data centers," Tamboli added.

For more:
- see the release

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