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| Gartner Dataquest Says Worldwide Service Provider Router Market Totaled $445 Million in the Third Quarter of 2002 | ||||||||||||||||||||||||||||||||||||||||||
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SAN JOSE, Calif., November 27, 2002 — The worldwide service provider router (SPR) market totaled $445 million in the third quarter of 2002, which is down 10 percent from the second quarter of this year, according to Dataquest Inc., a unit of Gartner, Inc. (NYSE: IT and ITB).
"The SPR market's sequential decline is attributed to a decrease in prices due to increased competition for existing telecommunications budgets," said Jennifer Liscom, principal analyst for Gartner Dataquest's worldwide telecommunications and networking group. "Service providers have also delayed purchases in some instances, waiting for next-generation products." Cisco Systems dominated the worldwide SPR market, as its revenue reached $278 million in the third quarter of 2002 (see Table 1). Juniper was the No. 2 vendor in the market, with revenue totaling $125 million. Table 1 Worldwide Service Provider Router Vendor Revenue Estimates for 3Q02 (Millions of Dollars)
Source: Gartner Dataquest (November 2002)
Cisco led in the market in terms of shipments, as its third-quarter shipments were almost double the shipments of its nearest competitor, Juniper (see Table 2). Juniper reported combined results for the first time in the third quarter with the acquisition of Unisphere Networks earlier this year. "The fourth quarter of 2002 will be a very challenging time for the worldwide SPR market, and 2003 will remain relatively flat, with recovery expected in early 2004," said Liscom. Table 2 Worldwide Service Provider Router Vendors' Shipments for 3Q02 (Actual Units)
Source: Gartner Dataquest (November 2002)
Gartner Dataquest defines SPRs as carrier-class routers capable of providing multigigabit bandwidth in support of high-speed WAN interfaces. These carrier class devices are typically designed for installation in network infrastructure and support the Internet Protocol suite. This analysis is provided by Gartner Dataquest's worldwide Telecommunications and Networking group. This group provides an analysis for the full spectrum of telecom and networking issues. To keep up to date on the latest telecommunications issues, please visit Gartner's Telecommunications Focus Area at www.gartner.com/telecom-mkt. To purchase the report or subscribe to Gartner Dataquest programs, call 408-468-8000 or go to www.gartner.com. Gartner Dataquest is the recognized leader in providing the high technology and financial communities with market intelligence for the semiconductor, computer systems and peripherals, communications, document management, software, and services sectors of the global information technology industry. Gartner, Inc. is a research and advisory firm that helps more than 10,500 clients leverage technology to achieve business success. Gartner's businesses consist of Research, Consulting, Measurement, Events and Executive Programs. Founded in 1979, Gartner is headquartered in Stamford, Connecticut, and has 4,000 associates, including more than 1,000 research analysts and consultants, in more than 75 locations worldwide. Fiscal 2002 revenue totaled $907 million. For more information, visit www.gartner.com. |
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Contact: Christy Pettey Gartner +1 408 468 8312 christy.pettey@gartner.com |
