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Network Processors Finally Enter the Telecom Equipment Mainstream22 January 2005
After several years of poor sales, makers of network processor components are finally seeing a meaningful rise in revenue, as many of the world's largest telecom equipment makers start incorporating network processors into their products, according to a major new study released today by Heavy Reading (http://www.heavyreading.com), the market research division of Light Reading Inc.
Network Processors: A Heavy Reading Competitive Analysis delivers a complete accounting of the network processor market, with detailed technology and price comparisons of more than 80 different products from 16 manufacturers, including Intel Corp. (Nasdaq: INTC - News), Agere Systems Inc. (NYSE: AGR.A - News), Applied Micro Circuits Corp. (Nasdaq: AMCC - News), and Broadcom Corp. (Nasdaq: BRCM - News). The report includes full coverage not only of components now on the market, but also those that are scheduled to be available in the next year.
Although first-generation network processors hit the market five years ago, the collapse of the telecom investment bubble kept equipment makers from developing new products to take advantage of the technology, notes report author Simon Stanley, a Heavy Reading Analyst at Large. "Unit sales of network processors began to grow in 2003, leading to significant recovery in 2004," says Stanley, who estimates that network processors generated $150 million in revenue last year -- a 150 percent increase over 2003 revenues.
The report covers all components in these four product categories:
* Control-plane processors
* Communications processors
* 2.5-Gbit/s network processing units (NPUs)
* 10-Gbit/s NPUs
Other key findings of the report include:
Network processors are now a mainstream technology. The world's largest
telecom equipment vendors are now using network processors for
applications from the edge to the core of the network. These
manufacturers include Alcatel SA, Cisco Systems Inc., Huawei Technologies
Co. Ltd., Lucent Technologies Inc., Siemens AG, and Samsung Corp.
Carrier access is the key market for NPU suppliers in 2005. Demand for
network processors is highest in the access network. Components vendors
are developing fast-path NPUs and integrated communications processors to
address this market.
10-Gbit/s NPUs are now shipping in volume. Five different components
vendors are now in commercial production with 10-Gbit/s NPUs: AMCC, Bay
Microsystems, EZchip, Intel, and Sandburst.
Integrated packet switching is fast becoming a standard feature of
control-plane processors. New control-plane processors from Broadcom,
Freescale, and PMC-Sierra integrate a packet-switching capability.
Network Processors: A Heavy Reading Competitive Analysis, an 80-page
report, is published in PDF format and costs $3,495. The price includes
an enterprise license covering all of the employees at the purchaser's
company.
For more information, or to request a free executive summary, contact:
Dave Williams
Sales Director, Heavy Reading
415-321-3750, ext. 30
dave.williams@heavyreading.com
Press/analyst contact:
Dennis Mendyk
Managing Director, Heavy Reading
201-587-2154
mendyk@heavyreading.com
About Heavy Reading
Heavy Reading is an independent market research organization offering quantitative analysis of telecom technology to service providers, vendors, and investors. Its mandate is to provide the comprehensive competitive analysis needed today for the deployment of profitable networks based on next- generation hardware and software.
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Source: Heavy Reading
Source: PR Newswire via Yahoo
All trademarks and copyrighted information contained herein are the property of their respective owners.
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