Synergy Research: Data Center Network Infrastructure Market Grew 22 Percent in 2010

Synergy Research: Data Center Network Infrastructure Market Grew 22 Percent in 2010

By Rajani Baburajan

Data Center Network Infrastructure sales grew 22 percent in 2010. Three market segments that fuelled the growth include Application Delivery Controllers, High End Network Security Platforms, and WAN Optimization Appliances, according to Synergy Research Group.

These high growth markets are driven by technology vendors such as F5, Juniper, and Riverbed.

Market leader Cisco improved its market share to 50.7 percent in 2010, up from 48.5 percent in 2009. Juniper gained 2.5 market share points over the last two years with its announcement of a potentially disruptive Data Center architecture, QFabric. Other data center vendors which showed strong performance last year include HP, Fortinet, F5, Citrix, Blue Coat, and Brocade.

“In 2010, we continued to see strong build outs of Data Centers from Google to Amazon to Microsoft and a growing number of service providers/operators,” said Jeremy Duke, founder and principal analyst, Synergy Research Group, in a statement.

Increasing demand of utility computing and multimedia services will drive investment and innovation in coming years, Synergy Research Group said in its research report called “the Data Center Network Infrastructure Market Analysis.”

The report offers quarterly market shares, sizing, and forecasts for combined Data Center sales. Markets include Ethernet Switching, Routers, Application Delivery Controllers, High-End Network Security Platforms, and WAN Optimization Appliances.

Recently, Facebook announced an open-source strategy to its Data Center build-outs and is making public how their Data Centers achieve efficiency and scale. Usually, such companies do not share data center secrets. Industry analysts are welcoming this as a bold move by Facebook. It is a long-term strategy to benefit and leverage the wealth of knowledge in the open-source community.

Recently, a report called “Green Data Centers” from Pike Research said global investment in energy efficient data center technologies to reach 28 percent of the $150 billion data center infrastructure market.

Though energy consumption was considered as a priority in the data center, the growth of the organization led the cost of information technology to become increasingly visible across a wide variety of industries. 


Rajani Baburajan is a contributing editor for MSPToday. To read more of Rajani's articles, please visit her columnist page.

Edited by Janice McDuffee
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