To: David Lawrence who wrote (18831 ) 5/21/1999 11:01:00 AM From: Moonray Read Replies (1) | Respond to of 22053
Q199 Network Interface Card Market Experiences Dramatic Slowdown According to Leading Market Researcher, Cahners In-Stat Group 08:00 a.m. May 21, 1999 Eastern NEWTON, Mass.--(BUSINESS WIRE)--May 21, 1999--Cahners In-Stat Group reveals that the Network Interface Card (NIC) market experienced a strong sequential decline in NIC units shipped in Q199. Normal first quarter cyclicality, lower overall sequential PC shipments and a slight shift to LAN connectivity implemented directly onto the motherboard resulted in a 12.9% decline in Q199 to 12.5 million units, according to Cahners In-Stat Group's report, Q199 Network Interface Card Market Analysis "The NIC market was a disappointment in Q1 nearly every way you slice it," said Mike Wolf, industry analyst with Cahners In-Stat Group. "Fast Ethernet NICs, the NIC market growth engine for the past three years, saw shipments decline for the first time in history and Gigabit Ethernet, the 'Golden Child' of the NIC market, grew a relatively modest eight percent." Cahners In-Stat Group expects the overall NIC market to recover slightly in Q2. Cahners In-Stat Group also found: -- The Fast Ethernet market was dominated once again by 3Com and Intel, accounting for approximately 77% of units shipped which was down from nearly 80% in Q498 due to a decline in market share from market leader 3Com -- Third place D-Link also experienced a drop in shipments in Q199 Cahners In-Stat Group expects the Gigabit NIC market to continue to ramp-up quickly despite a temporary deceleration in Q199. "With the emergence of 1000 Base-T or Gigabit over Copper NICs on the horizon, we see this market as the one to watch in the next few quarters," said Wolf. The research company expects that with the ratification of the Gigabit over Copper standard later this year, 1000 Base-T NICs will soon follow. Cahners In-Stat Group is a high-technology market research firm with comprehensive understanding of computer and convergence, networking, wireless, telecommunications, Internet and semiconductor markets. Headquartered in Newton, Mass., offices are also located in Scottsdale, Ariz. and San Jose, Calif. Cahners In-Stat 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 cahnersinstat.com . Copyright 1999, Business Wire o~~~ O