"Market explosion forecast for ATM and frame relay"
August 4 -- Pushed by rapidly growing demand for high-speed wide-area networking and Internet services, the total global market value for ATM wide-area switches and frame relay switches will explode between now and the year 2001, says a new report published today by the UK-based consultancy Datamonitor.
Datamonitor forecasts the total market for wide-area ATM and frame relay networking technology and services will hit US$5.2bn by 2001. The market for frame relay will grow from US$910m in 1996 to US$2.3bn over the next four years. Growth rates for ATM switching over the wide-area will be even more impressive, with total revenues rising from US$530m to US$2.9.
According to the report, entitled Scaling the Web: primetime for ATM?, the key driver for both markets' growth will be the efforts of Internet service providers, network service providers and carriers to provide the 'plumbing' for fast, secure and multiapplication networks. The report expects that demand will increase for services which offer a combination of ATM and frame relay technology solutions.
In addition, the market for remote access servers and data/transmission concentrators will grow significantly, generating revenues in excess of US$7.2bn by the year 2001. Datamonitor believes that remote access concentrators will become preferable to more established technologies such as multiplexers for managing ever-increasing traffic flows as well as coping with more diverse routing and traffic types. Indeed, the acess concentrator market alone will rise from US$1.1bn in 1996 to US$5bn in 2001, with Internet service providers accounting for 51% of this total.
Topics: Telecommunications, Switching technology, Financial & Business Information, Internet Service Providers, Internet, ATM
d-comm.com ------------------------------------------------------------
Will this boost some confidence on the networking sotcks ? I predict CSCO earnings will do well. Their BPX (ATM switch) is selling well. |