EMEA router market climbs during first quarter

The Europe, Middle East and Africa market for routers grew 2.6% sequentially in the first quarter of 2006 to hit US$1.39 billion according to the numbercrunchers at IDC.

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By  Stuart Wilson Published  June 13, 2006

The Europe, Middle East and Africa (EMEA) market for routers grew 2.6% sequentially in the first quarter of 2006 to hit US$1.39 billion according to the numbercrunchers at IDC. “The EMEA router market continued to grow in the first quarter of 2006, fuelled by strong demand from service providers for high-end routers,” said Peter Hulleman, research manager with IDC’s European telecommunications and networking group. The residential segment, which includes wireless routers, declined 8.7% sequentially from US$592.3m in the fourth quarter of 2005 to US$541m in the first quarter of 2006. However, it remained the largest segment of the overall market during the first quarter. According to IDC, the decline was expected after a massive 49% sales spike in the fourth quarter of 2005 compared to the third quarter of the same year. High-end router sales were up 9.5% to US$477.4m in EMEA for the first quarter of 2006, representing the second largest segment of the overall market. Cisco’s sales climbed 10.2% to US$588.2m, boosting its total router market share to 42.2%. Including its Linksys division, Cisco’s market share was a whopping 46.5%. Juniper, Cisco’s archrival in the high-end router segment, continued to boost its revenues in EMEA, with sales accelerating 12% from US$125.7m in the fourth quarter of 2005 to US$140.9m in the first quarter of 2006. Juniper’s overall market share on EMEA increased from 9.3% to 10.1% as a result. Zyxel took back the market leader position in the residential router segment for the first quarter of 2006 — a position that it had lost to Thomson in the last quarter of 2005.

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