Service provider edge router market stable in Q3

REDWOOD CITY, USA: According to a newly published report by Dell’Oro Group, the trusted source for market information about the networking and telecommunications industries, the worldwide service provider edge router market grew 2 percent to $1.2 billion in the third quarter this year. Edge routers are networking devices used by telecom service providers to manage and deliver internet-based services and content.

During the third quarter, the worldwide market for edge routers grew for the second consecutive quarter, indicating that demand has stabilized following a strong contraction in the first quarter of the year. The leading edge router manufacturers Cisco Systems, Alcatel-Lucent, and Juniper Networks all recorded growth at or above the market average.

“Service providers are willing to invest in their edge networks because they can get a return on the investment over a relatively short time horizon,” said Shin Umeda, Vice President at Dell’Oro Group. “The stability we saw during the third quarter gives us more confidence that the worst is behind us and that next quarter and 2010 will produce solid market growth,” added Umeda.