IP-based technology boosts network spending

The global networking and telecom equipment market increased 5.5% sequentially and 9.3% year-over-year in Q404, according to Synergy Research Group’s latest report, Q404 Global Networking and Telecom Equipment Market Shares.

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By  Simon Duddy Published  August 23, 2005

The global networking and telecom equipment market increased 5.5% sequentially and 9.3% year-over-year in Q404, according to Synergy Research Group’s latest report, Q404 Global Networking and Telecom Equipment Market Shares. Synergy has also observed that for year-end 2004, the market grew 13% compared to 2003. The research firm claims this is due to enterprises and service providers spending to implement more efficient and more flexible IP-based equipment. “Sales of IP-based equipment contributed strongly to the growth of the global market for networking and telecom equipment. Sales in the fourth quarter hit a high note for vendors as end of year spending from service providers around the globe reached peak levels for 2004,” says Joshua Johnson, senior analyst at Synergy Research Group. “Going forward, after the dust settles on the agreements between some of their biggest customers, the vendors’ own M&A activity may further change the game in 2005,” he adds. Year End 2004 Networking and Telecom Equipment Vendor Sales Increases 1. Juniper +100% 2. Huawei + 39% 3. Ericsson + 28% 4. Motorola + 27% 5. Alcatel + 20% 6. Cisco + 20%

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