Dell'Oro Group Releases 3Q99 Shared Hub & LAN Switch Report; Shared Hub and LAN Switch Market Grew 5% in 3Q99; Layer 3 and Gigabit Ethernet Continue to Drive Growth in 3Q99

Business Wire, Nov 19, 1999

PORTOLA VALLEY, Calif.--(BUSINESS EDITORS)--November 19, 1999--

Total sales of Shared Hubs and LAN Switches grew 5% ($150 million), to $3 billion in 3Q99, according to the Dell'Oro Group's quarterly report, published earlier this week. The Layer 3 Ethernet Switch market, grew 18% ($90 million) during the quarter. Vendors showing strong growth in the Layer 3 Ethernet Switch market were Cisco ($61 million) and Cabletron ($15 million). Gigabit Ethernet port shipments, which grew 46% quarter over quarter, were driven by an average price decline of 20%. Layer 2 Fixed Configuration Fast Ethernet port shipments grew 22% quarter over quarter and the market is on pace to exceed $2.6 billion for 1999.

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              Market Leaders - Shared Hubs & LAN Switches

                                                   Quarterly
      Total Market                   3Q99            Growth
      ------------                   ----          ---------
      MFG Revenue ($M)              $3,015              5%

      Vendor                         Rank            Growth
      ------------                   ----          ---------
      Cisco                              1             12%
      3Com                               2              8%
      Nortel Networks                    3           -  5%
      Cabletron                          4              4%
      FORE Systems                       5           - 13%
      Alcatel                            6            - 5%
      Hewlett Packard                    7             10%
      Allied Telesyn                     8              5%
      Lucent                             9             12%
      Extreme                           10             24%

The Dell'Oro Group's Shared Hub & LAN Switch report provides in-depth data and analysis on the following technologies: Shared Hubs (10 EN, 100 EN, Token Ring), LAN Switches (Layer 2 EN, Layer 3 EN, Token Ring, ATM) and NICs. The report tracks market shares for approximately 25 vendors in terms of revenues, ports shipped and ASPs.

The Dell'Oro Group is a research and consulting firm specializing in business planning and strategic competitive analysis in the networking industry.