CAMPBELL, CA–(EMWNews – July 22, 2008) – Sales of service provider and enterprise telecom and datacom

equipment hit $139 billion worldwide in 2007, up 13% from 2006, and are

forecast to grow 26% to $174 billion in 2011, says a new report from

communications market research firm Infonetics Research.

According to the report, Service

Provider and Enterprise Telecom and Datacom Equipment, the 5-year

compound annual growth rates (CAGRs) for all segments tracked in the report

range from slightly negative to strong double digits from 2007 to 2011,

with IPTV and IP video equipment growing the fastest, followed by service

provider VoIP and IMS equipment.

“While service provider wireless and 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 fueled 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.

Other highlights from the report:

--  The largest equipment category, service provider wireless and FMC,

    will decrease its share of overall telecom/datacom revenue by 4 points

    between 2007 and 2011, as fast growing segments like IPTV and carrier VoIP

    and IMS gain share

--  About 1/3 of all 2007 telecom/datacom equipment revenue came from the

    Europe/Middle East/Africa (EMEA) region

--  China and India will drive a significant jump in carrier capital

    expenditures, or capex, in 2008 as a result of network construction

    projects combined with currency appreciation against the US dollar

--  Cisco leads the overall worldwide telecom/datacom network equipment

    market in 2007, followed by Alcatel-Lucent and Ericsson

--  Ericsson and Alcatel-Lucent are neck and neck as leaders of the

    service provider telecom/datacom equipment segment, while Cisco leads the

    enterprise segment with nearly half of worldwide revenue market share in

    2007

    

Infonetics’ report compiles market size, market share, and forecast data

for market segments the firm covers (the majority of the networking

products in the telecom/datacom equipment market) to provide a big picture

of the health of the market worldwide, including the overall contribution

of revenue by major product categories, geographic distribution of revenue,

and leading vendors.

Companies tracked include Alcatel-Lucent, Avaya, Cisco, Ericsson, Fujitsu,

Huawei, Juniper, Motorola, NEC, Nokia Siemens, Nortel, Samsung, Siemens,

Tellabs, ZTE, and others.

Categories of equipment tracked include:

--  Broadband aggregation hardware

--  Broadband CPE

--  IPTV and IP Video

--  Optical network hardware

--  Service provider metro Ethernet, routing, and switching

--  Service provider VoIP and IMS equipment

--  Service provider wireless and FMC

--  Enterprise routers, switches, and wireless LAN equipment

--  Enterprise telephony equipment

--  Network security

    

For report

highlights, log in to Infonetics’ online portal from www.infonetics.com

(see Total Telecom and Datacom). For sales, contact Larry Howard, vice

president, at [email protected] or +1 (408) 583-3335.

Infonetics Research (www.infonetics.com) is an international market

research and consulting firm serving the communications industry since

1990. A leader in defining and tracking emerging and established

technologies in all world regions, Infonetics helps clients plan,

strategize, and compete more effectively. Infonetics covers a broad range

of service provider, product manufacturer, and enterprise and SMB markets. Services include market

share, forecasts, end-user and service provider survey research, custom

research, and consulting.