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SP switching & routing market tough, even for Huawei: subregional view
Management Report
Published: May 2010
Pages: 10
Tables: For full details, please email keithw@cmsinfo.com
From: GBP 596.67 Buy Now!
Research from: Ovum Research and Consultancy
Sector: Broadband & Fixed
Huawei and ZTE have emerged as credible competitors in the market for service provider switching and routing (SPSR), accounting for 12% and 3%, respectively, of 2009 revenues. But a subregional analysis makes clear that the SPSR market remains a tough one for Chinese vendors to crack. The gains they have achieved in optical, broadband, and wireless will be hard to replicate. Service providers are now inviting them to the table, however, injecting much-needed competition into a segment with above-average margins and a high concentration of share in a few players’ hands.
Huawei and ZTE have emerged as credible competitors in the market for service provider switching and routing (SPSR), accounting for 12% and 3%, respectively, of 2009 revenues. But a subregional analysis makes clear that the SPSR market remains a tough one for Chinese vendors to crack. The gains they have achieved in optical, broadband, and wireless will be hard to replicate. Service providers are now inviting them to the table, however, injecting much-needed competition into a segment with above-average margins and a high concentration of share in a few players’ hands.