L2-L3 ETHERNET SWITCH MARKET HIT $11.6B IN 2003.

Demand for 1G fixed configuration and 1G and 10G chassis switches was strong in 4Q03, but not strong enough to keep worldwide revenue for layer 2-3 Ethernet switches from dipping 1% from 3Q03 to 4Q03, according to Infonetics Research's quarterly market share and forecast service, L2-L3 Ethernet Switches. The decline was due to sagging sales of 100M fixed and chassis switches.

Despite flat revenue numbers this quarter, worldwide L2-L3 Ethernet switch revenue topped $11.6 billion in 2003 and is projected to grow to $14.2 billion in 2007. Vendors report that end-users are starting to increase their spending on network infrastructure at modest levels, which will drive 28% port and 11% revenue growth in 2004.

"The big story this quarter is how dramatically...

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