Cloud Service Providers Drove Shipments of 25/50 Gbps Network Adapters in 4Q17, According to Dell’Oro Group

REDWOOD CITY, Calif., April 04, 2018 -- In a newly published report by Dell’Oro Group, the trusted source for information about the telecommunications and networking industries, Cloud Service Providers drove ports shipments of the next generation 25 Gbps and 50 Gbps network adapters at a double-digit rate in 4Q17. The market momentum will carry into 2018, with 25/50 Gbps shipments expected to more than double.

“Shipment of 25/50 Gbps network adapters grew at a healthy double-digit rate to over 1 M from the prior quarter,” said Barong Fung, Senior Analyst at Dell’Oro Group. “Three of the largest service providers – Google, Amazon, Facebook – drove the market in 4Q17. We expect Microsoft to begin their adoption of 50 Gbps in 2018. We also expect strong 25 Gbps adoption by the broader market of small Cloud service providers and large Enterprises in 2018,” explained Fung.

Additional highlights from the 4Q17 Controller & Adapter Report:

• 10G Base-T port shipments reached 1 M in 4Q17, an all-time high. We anticipate 10G Base-T will become a higher portion of 10 Gbps shipments over the next five years.
• 40 Gbps port shipments on Enterprise servers grew at a low double-digit growth rate quarter-over-quarter.
• 100 Gbps server connectivity is starting to gain adoption, led by shipments from Intel to a Cloud service provider.

About the Reports
The Dell’Oro Group Controller and Adapter Quarterly Report provides complete, in-depth coverage of the market with tables covering manufacturers’ revenue, average selling prices, unit, and port shipments (by speed 1 Gbps, 10 Gbps, 25 Gbps, 40 Gbps, 50 Gbps, and 100 Gbps) for Ethernet and Fibre Channel Over Ethernet (FCoE) controllers and adapters.  The report also includes coverage on InfiniBand controllers and adapters.  To purchase this report, please contact Matt Dear at +1.650.622.9400 x223 or email [email protected].

About Dell’Oro Group
As the trusted source for market information about the networking and telecommunications industries, Dell’Oro Group provides in-depth, objective research and analysis that enables component manufacturers, equipment vendors, and investment firms to make fact-based, strategic decisions.  For more information, contact Dell’Oro Group at +1.650.622.9400 or visit www.DellOro.com.