As networks ramp up for the Internet of Things (IoT), Machine-To-Machine (M2M) communications, BYOD, and Big Data, organizations are quickly upgrading to a heaping helping of honking huge hoses (too much alliteration?). “Overall network port shipments and revenue are on a steady upward path as buyers shift to higher bandwidth, but the real action is in high-speed (10G+) port shipments, which we expect to increase almost ten-fold by 2017,” noted Matthias Machowinski, directing analyst for enterprise networks and video at Infonetics Research.
The latest report from Infonetics found spending by service providers and enterprises on 1G, 10G, 40G, and 100G network ports grew to $37 billion in 2012, up 4% from the previous year. However that total network port spending will grow to $52 billion in 2017, driven by growing network traffic and the need to constantly upgrade networks.
The number of 1G, 10G, 40G, and 100G network ports shipped is expected to top 430 million in 2013, up from 146 million 5 years ago. The service provider segment is forecast to drive most of the 100G port revenue to over $6 billion by 2017.
It’s no surprise that networks are continuing to get faster. The market forecasts range from more than 4 billion M2M connections in 2017 to 30 billion devices, most of which will be products, by 2020. As for IoT, it is expected to reach $290.0 billion by 2017 and 212 billion things, including 30.1 billion connected (autonomous) things. By then, the IoT will generate revenues of $8.9 trillion on components, processes, and supporting IT and connectivity, up from $4.8 trillion in 2012.
Mobility is also benefiting from this data free-for-all, with the number of cellular M2M connections expected to more than triple by the end of 2017, shooting up from last year’s 116 million to 375 million.
But hold your horses! More things, more data, and more honking hoses aren’t all that are troubling network execs. A new study from TheInfoPro indicates that, while there is a strong budget for network projects in 2013 and 2014, security returns to the top of the list of network manager pain points, with aging hardware dropping from first place in the previous Wave study to fifth place in 2013 (the top five networking pain points were: security – 22%; capacity – 19%; budget – 18%; network monitoring – 13%; and wireless – 12%).
And just in case you weren’t feeling overwhelmed by more things, more data, more honking hoses and more security, TheInfoPro added that the first serious discussions of utilizing software-defined networking (SDN) and virtual networking products have occurred in interviews, perhaps indicating these technologies are on the horizon in the next three years.
Looks like networking’s Happy Daze are here again (or never left…).
Image credit: WikiMedia Commons