Network Port Revenue on the Rise

By Kimberly Koerth

Worldwide 1G/10G/40G/100G network port revenue grew 5 percent to $39 billion in 2013 from the prior year, while enterprise port revenue also grew 5 percent and service provider port revenue increased 4 percent.

Although 1G comprises the majority of ports, 10G delivers the bulk of the revenue, according to an Infonetics Research report. However, revenue growth comes from the emerging 40G and 100G segments.

As service providers move on to 100G, 40G is finding success in the data center market. 40G shipments more than doubled in 2013 and are expected to nearly triple this year.

“Deployments of 1G, 10G, 40G and 100G ports once again grew significantly in 2013 as enterprises and service providers invested in their networks to accommodate the growth in traffic and revenue growth accelerated as buyers shifted to higher bandwidth — and more expensive — ports,” said Matthias Machowinski, directing analyst for enterprise networks and video at Infonetics Research.