The worldwide Service Provider Router and Switch market declined with a low single-digit revenue decrease in 2Q 2021, according to a new report from Dell’Oro Group. The market contraction was primarily the result of a reduction in revenue in China that offset growth in all other regions.
“The demand for routers in China declined in the second quarter as 5G transport buildouts slowed, but we think this was a temporary situation that a strong rebound is likely in the second half of the year,” said Shin Umeda, Vice President at Dell’Oro Group. “The good news is that revenue from all other regions increased in the second quarter, and service provider router spending for the first half of 2021 have climbed above pre-pandemic levels,” added Umeda.
Additional highlights from the 2Q 2021 Service Provider Router and Switch Report:
- Cisco remained the top-ranked vendor for market share, followed by Huawei, Nokia, and Juniper.
- The Service Provider Core Router market is on track to grow at a double-digit rate in 2021, led by the adoption of 400 Gbps technologies.
- Supply constraints have not had a significant effect on the Service Provider Router and Switch market through the first half of 2021.
