Telecom equipment sales reach $139bn

IPTV and IP video equipment lead growth

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By  Sean Robson Published  July 23, 2008

Global sales of telecom equipment totalled $139 billion in 2007, a 13% increase from 2006 and, according to research firm Infonetics, this growth will continue to reach $174 billion in 2011.

While IPTV and IP video equipment are the major drivers of the growth in sales, they are closely followed by service provider VoIP and IMS equipment.

"While service provider wireless and fixed mobile convergence (FMC) equipment and enterprise routers, switches, and wireless LAN equipment make up the largest portions of revenue, the increases we're seeing in the overall telecom and datacom equipment market are being fuelled by the transformation to IP packet networks, as evidenced by strong growth in the IPTV and service provider VoIP and IMS segments," said Jeff Wilson, principal analyst at Infonetics Research.

The study also showed that a third of the global revenue came from the EMEA region, and China and India were stated to be increasingly prominent markets.

In terms of vendor market share Cisco that lead the overall equipment market in 2007, with Alcatel-Lucent and Ericsson just behind. Alacatel-Lucent and Ericsson emerged as the leaders in the service provider space while Cisco is number one in the enterprise segment.

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