Access Concentrator Market grows 12 percent In Q3 1998: Continues to Benefit from ISP Spending
SCOTTSDALE, Ariz.--(BUSINESS WIRE)--Nov. 24, 1998--Led by the 12% sales growth of the Access Concentrator Market, the overall Dial Access market experienced 10% sales growth to $653 million in Q3 1998.
This represented a six-quarter high that can be attributed to both an increase in service provider spending in the Access Concentrator segment and a slow in the decline of Average Selling Prices.
Access Concentrators continue to grow as a percentage of overall sales, representing 86% of total Dial Access revenues in Q3. "The Access Concentrator market is being driven by two primary forces," said Shannon Pleasant, industry analyst for Cahners In-Stat Group's Networking Services.
"Large organizations continue to build-out enterprise-wide dial access for their employees, customers and partners, and service providers continue to build out their infrastructure to meet the dial access demand for Internet services."
Ascend has most aggressively taken advantage of the growth in the Access Concentrator segment, pulling away from the pack in Q3 1998 with 33% sales market share. Ascend's primary competitors, Cisco and 3Com, both lost share, ending the quarter with 27.8% share and 27.2% share respectively.
According to Cahners In-Stat Group, the Access Server market recovered in Q3 1998 after a 14% sequential decline in Q2. Ports shipped increased 5%, while sales remained flat at $89 million. Access Servers continue to be displaced by larger, enterprise based and carrier class Dial Access platforms. However, VPNs and Extranet applications may offer new life for this product category in the coming quarters.
Q3 1998 Dial Access Market Analysis, Report No. CQ9804M3, includes detailed market shares and a rolling three-quarter forecast of the Dial Access Equipment Market. The report is priced at $2,995, which includes analyst inquiry privileges on topics covered in this report.
To purchase this report, or for more information on Cahners In-Stat Group's services, contact Linda Morganstern at 408/345-4449 (FAX: 408/345-4400, email: lmorganstern@cahners.com). Press may contact Jeremy Duke at 602/483-4471 for discussions of the report.
Headquartered in Newton, Mass., Cahners In-Stat Group is a high-technology market research firm with comprehensive understanding of computer and convergence, networking, wireless, telecommunications, Internet, enterprise software, and semiconductor market. Offices are also located in Scottsdale and San Jose, Calif.
Cahners In-Stat Group, formed by the merger of In-Stat and Business Research Group, is part of Cahners Business Information, the largest publisher of specialized business publications in the United States, and a division of Reed Elsevier. Visit Cahners In-Stat Group online at instat.com.
CONTACT:
Cahners In-Stat Group
Jeremy Duke, 602/483-4471
email: jeremyd@instat.com
Karen Martin, 602/483-4442
email: karenm@instat.com
Chris Hecht, 602/483-4443
email: chrish@instat.com
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