HPE Aruba’s NaaS Announcements Change the Consumption Model Dialogue with Customers

Incline Village, Nevada – March 31, 2022 – An upcoming report by 650 Group, a leading Market Intelligence Research firm for communications, campus, data center, and cloud markets, provides unique insight into the NaaS market for enterprise WLAN.  The latest report reflects the idea that the needs of the enterprises are different now and will continue to evolve away from pure CAPEX consumption models.

“WLAN was one of the first campus networking markets to move towards Subscription and Cloud Managed over a decade ago with most vendors aggressively ramping their Cloud Managed offerings in 2021,” said Chris DePuy, Founder and Technology Analyst at 650 Group.  “NaaS is a natural progression in how vendors will change their product offerings to address the change in consumption models and make up an increasing percentage of WLAN during the next five years.”

The Quarterly Enterprise WLAN –  NaaS report looks at the adoption rate of NaaS compared to Cloud Managed Solutions and provides additional segments by business size and other adoption metrics.  The reports will also look at the vendor’s current revenue splits between traditional CAPEX and subscription-related revenue.  Future reports will include additional segmentation and vendors.

About the NaaS Reports
The Quarterly Enterprise WLAN – NaaS report covers quarterly market shares and forecasts.  NaaS reports include segmentation on a regional and worldwide basis and provide market data for the China and non-China markets.  In addition, 650 Group publishes additional segment-specific reports in WLAN, WLAN semiconductors, Unified Access, and Cloud Managed markets.  For more information about the report, contact the sales department at 650 Group at +1 650 600 7104 or val@650group.com or www.650group.com.

About 650 Group
650 Group is a leading Market Intelligence Research firm for communications, data center, and cloud markets.  ​Our team has decades of research experience, has worked in the technology industry, and is actively involved in standards bodies. To learn more, visit: http://www.650Group.com
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Data Center Switching Records from Cloud and Hyperscalers; Campus Switching Records From Strong Cloud Managed Growth

INCLINE VILLAGE NV– March 2, 2022 – A newly released report by 650 Group, a leading Market Intelligence Research firm for communications, data center, and cloud markets, reveals that the Ethernet Switch Market grew over 5% Y/Y in 4Q21 to over $9 B.  The report also revealed significant regional differences in vendor performance with many records set.
Highlights for the quarter include:

• Ethernet Switch Market exceeds $9B per quarter run-rate for the first time
• 2021 Full-year revenue records for Arista, Fortinet, H3C, HPE Aruba, Huawei, Ruijie, Ubiquiti, and White Box
• Over 100K Branded 400 Gbps ports for the first time in 4Q21
• A significant transition towards Cloud Managed and Subscription revenue in campus switching

"The Ethernet Switch market hit record levels in 4Q’21 as vendors could increase shipments into broad-based demand amongst campus deployments for enterprises and expanded data center demand," said Alan Weckel, Founder and Technology Analyst at 650 Group.  "2022 results will depend on the ability of the supply chain to continue to heal as the campus switch market continues to transition to subscription revenue and Hyperscalers ramp 400 Gbps and begin to trial 800 Gbps."

The Quarterly Ethernet Switch report indicates that the top four campus switch vendors after Cisco in North America were HPE Aruba, Extreme Networks, Ubiquiti, and Juniper.  The top three branded data center switch vendors after Cisco in North America were Arista, Juniper, and Dell.  In addition, the report highlights how business size, vertical exposure, and hyperscaler adoption drove vendor performance in 4Q21. 

About the Ethernet Switch Quarterly Report
The Ethernet Switch Quarterly Report offers a market assessment of vendor performance and market share in the Ethernet Switch market.  The report covers Modular, Fixed Managed, Smart Switching, White Box, Disaggregation, and other segmentation as well as the following port speeds: 100 Mbps, 1 Gbps, 2.5 Gbps, 5.0 Gbps, 10 Gbps, 25 Gbps, 40 Gbps, 50 Gbps, 100 Gbps, 200 Gbps, 400 Gbps, 800 Gbps, and 1.6 Tbps.  650 Group publishes additional segment-specific reports in Campus / Enterprise Switching and Data Center Switching.  For more information about the report, contact the sales department at 650 Group at +1 650 600 7104 or val@650group.com or www.650group.com.

About 650 Group
650 Group is a leading Market Intelligence Research firm for communications, data center, and cloud markets.  ​Our team has decades of research experience, has worked in the technology industry, and is actively involved in standards bodies. To learn more visit: http://www.650group.com
 

Enterprise WLAN Market Rebounded 20% in 4Q21, Driven by Significant Price Increases

Incline Village, Nevada – March 2, 2022 – A newly released report by 650 Group, a leading Market Intelligence Research firm for communications, data center, and cloud markets, indicates that the Enterprise Wireless LAN (WLAN) Infrastructure Market grew 20% Y/Y in 4Q21 to approximately $2.3 B. The report also highlighted that Cloud-Managed WLAN Services experienced 37% Y/Y revenue growth, an acceleration versus the previous quarter. 

"Cloud-Managed WLAN Services are growing faster than hardware sales as a larger group of vendors embrace this exciting technology. 650 Group’s quarterly Cloud-Managed Services publication shows that some leading vendors: Commscope, Extreme Networks, HPE Aruba, and Juniper Networks are growing more rapidly than the overall Cloud-Managed WLAN services market," said Chris DePuy, Founder and Technology Analyst at 650 Group. "Another major factor driving revenue growth is mix shifts towards higher-end products and price hikes to factor in supply challenges. This has driven average selling prices higher. We anticipate that the Enterprise WLAN market will stay at elevated pricing for the foreseeable future, reversing price erosion trends seen in years past.

DePuy continued, "As prices trend higher and subscriptions become mandatory, we anticipate that customers will demand more from vendors, who are offering innovative cloud services like location services, advanced network troubleshooting, and deployment acceleration systems. We think there will be an increasing focus on these services and will be as influential in vendor selection as vendor selection of radio technology offered in access points."

The Cloud-Managed Network Services publication indicates that the top five vendors are Cisco Systems, Extreme Networks, HPE Aruba, Commscope, and Juniper. In the Enterprise WLAN report, Cisco Systems, HPE Aruba, Ubiquiti, Commscope, and Extreme rounded out the top five players by revenue. 

About the Enterprise WLAN and Cloud-Managed Network Services Quarterly Reports
The Enterprise Wireless LAN Quarterly Report offers a market assessment of vendor performance and market share, and forecasts. The report covers Enterprise Indoor Access Points, Enterprise Outdoor Access Points, Controllers for the following speeds:  802.11n, 802.11ac Wave 1, 802.11ac Wave 2, Wi-Fi 6, Wi-Fi 6E, Wi-Fi 7. The Cloud-Managed Network Services Report entails Cloud-Managed Services Cloud-Managed Network Products for Enterprise WLAN and Campus Ethernet Switching. 650 Group publishes additional segment-specific reports in WLAN, such as customer size, vertical markets, and distribution channels. For more information about the report, contact the sales department at 650 Group at +1 650 600 7104 or val@650group.com or www.650group.com.
 
About 650 Group
650 Group is a leading Market Intelligence Research firm for communications, data center, and cloud markets.  ​Our team has decades of research experience, has worked in the technology industry, and is actively involved in standards bodies. Learn more at http://www.650group.com

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400 Gbps Based Router Platforms Projected to Triple in 2022
 
Incline Village, NV.  February 24, 2022 —  According to a newly released report issued by the 650 Group, the Service Provider (SP) Routing market will continue to grow through 2026, led by 400 Gbps port growth and continued robust demand for 100 Gbps in Telco, Cable, and Cloud deployments.
 
650 Group’s latest report indicates that 400 Gbps Router platforms based on 56 Gbps SERDES make up less than 10% of the market's revenue in 2021.  Still, by 2023, those platforms will make up almost 33% of revenue, and next-generation 800 Gbps Router platforms based on 112 Gbps SERDES will begin ramping. 
 
The SP Routing market report also indicates the regional trends impacting China, North America, and Europe, where vendor performance remains very different in each region based on  such factors as the supply chain, a trade war, and project timing.
 
"The SP Routing market is going through back-to-back upgrade cycles to 400 Gbps, and 800 Gbps as cloud and service provider demand for bandwidth drives a rapid pace of innovation," said Alan Weckel, founding analyst for 650 Group.  "Cisco, Juniper, and Nokia all have next-generation 800 Gbps announcements that will help drive adoption in higher speeds and DCI with the use of ZR/ZR+ optics."
 
About 650 Group
650 Group is a leading Market Intelligence Research firm for communications, data center, and cloud markets.  ​Our team has decades of research experience, has worked in the technology industry, and is actively involved in standards bodies.  650 Group focuses on leading-edge market trends and research and prides itself on first to market research with over ten research programs focused on SP and Cloud trends. Learn more at http://www.650group.com

Semiconductor and Supply Chain Shortages Limit Data Center Buildouts

Incline Village, NV.  August 23, 2021 —  According to a newly released report issued by the 650 Group, US hyperscaler cloud market revenue grew 43% Y/Y in 2Q21 while the supply chain for Data Center Equipment into hyperscalers performed unevenly due to continued semiconductor and component shortages.  

650 Group’s Cloud Report covers Colocation, Infrastructure as a Service (IaaS), SaaS, and Search & Social for companies such as Amazon, Apple, Facebook, Google and Microsoft.

“2Q21 IaaS revenue hit a record, far exceeding 4Q20’s previous revenue record,” said Alan Weckel, founding analyst for 650 Group. “IaaS continues to increase in influence throughout the entire component and semiconductor supply chain.  The number of applications that enterprises and consumers use each day continues to increase, and the majority of those applications exist in hyperscalers IaaS data centers.  Many critical components for cloud data center build-outs during the quarter remain constrained.”

2Q’21 Highlights:
o    Search and Social revenue surges.  Google and Facebook remain dominant, but the rest of the market shows signs of gaining ground
o    IaaS revenue growth was robust as many enterprises rely on the cloud to support their new-normal hybrid workforce and environments
o    US Hyperscaler made approximately $1M in cloud revenue every minute during 2Q21
o    Supply Constraints remain in 2Q21 related to COVID-19 and trade war events
o    Hyperscalers are poised to ramp next-generation server and networking architectures over the next two years
o    US Hyperscaler Revenue is Nearly 10X the size of Chinese Hyperscaler Revenue in 1H21
o    US Hyperscaler influence on the supply chain is increasing

The Cloud reports include CAPEX studies for the Colocation, IaaS, SaaS, and Search and Social Media markets, including a unique look at spending specifically for data center equipment.  Going beyond just cloud revenue provides a unique look into where and how the largest cloud providers deploy equipment.  In the report, you can see the trend towards more CAPEX spending occurring in IaaS as many SaaS providers choose IaaS instead of building out their own infrastructure.

About 650 Group 650 Group is a leading Market Intelligence Research firm for communications, data center, and cloud markets.  ​Our team has decades of research experience, has worked in the technology industry, and is actively involved in standards bodies.  650 Group focuses on leading-edge market trends and research and prides itself on first to market research with over 12 research programs focused on Cloud trends.