Press Release

Global Data Centre Switch Market to Grow at a CAGR of 6% in the Forecast Period of 2022-2027.

According to a new report by EMR, ‘Global Data Centre Switch Market Report and Forecast 2022-2027,’ the global data centre switch market reached a value of around USD 13.9 trillion in 2020. The industry is further expected to grow at a CAGR of 6% in the forecast period of 2022-2027 to reach a value of around USD 19.5 trillion by 2026.

The rising demand for the cloud and data traffic moving across data centres is expected to aid the growth of the global data centre switch market in the forecast period.  According to Cisco Systems (NASDAQ: CSCO), the data centre IP traffic was estimated to grow by nearly three times between 2016 and 2021, which is expected to increase the demand for data centre switch. The rising adoption of cloud data centres will also influence the market positively. The cloud is connected to billions of devices, ranging from autonomous vehicles, personal computers, to virtual reality systems. The total number of files stored in the cloud has grown unprecedently, with the percentage of files containing sensitive information growing drastically. Thus, cloud data centre providers have witnessed a huge influx of customers, which is aiding the growth of the global data centre switch market.

In the coming years, the market is expected to be driven by technological advancements. In January 2020, Huawei, a major player in the industry, launched CloudEngine 16800, which is touted to be the industry's first data centre switch, which has been built for the incoming Artificial Intelligence (AI) era. CloudEngine 16800 has an embedded AI chip, 48-port 400GE line card per slot, and the ability to adjust to the autonomous driving network. It is also expected to efficiently handle the massive data influx that is projected to occur in the data centre industry.

Market Breakup by Type, Technology, Bandwidth, End Use, and Region:

  • On the basis of type, the market is categorised into core, distribution, and access switches.
  • Based on technology, the market is divided into ethernet, fibre channel, and infiniband.
  • Based on bandwidth, the market is segmented into  ≤1 GBPS, >1 GBPS to ≤10 GBPS,  >10 GBPS to ≤40 GBPS, and >40 GBPS.
  • By end-uses, the market is classified into enterprises, telecommunication industry, government organizations, and cloud service providers.
  • Regionally, the market is divided into North America, Europe, the Asia Pacific, the Middle East and Africa, and Latin America.

Key Findings of the Report:

  • The global data centre switch market is being driven by the growing adoption of cloud computing and the advancement in the technologies of edge computing cloud.
  • Government regulations regarding the localisation of data centres are also influencing the market positively.
  • The advancements in smart computing devices have significantly contributed to the growth of the global data centre switch market.

Key Offerings of the Report:

  • The EMR report gives an overview of the global centre switch market for the periods (2016-2020) and 2022-2027).
  • The report also offers the historical (2016-2020) and forecast (2022-2027) markets for types, technologies, bandwidths, end-uses, and the major regions of data centre switch.
  • The report analyses the market dynamics, covering the key demand and price indicators in the market, along with providing an assessment of the SWOT and Porter’s Five Forces models.

The major players in the global data centre switch market include Cisco Systems, Inc. Company, Huawei (Huawei Investment & Holding Co., Ltd.), Hewlett Packard Enterprise Co, Arista Networks Inc, Juniper Networks, Inc., Dell EMC, ODM white-box makers, Mellanox Technologies, Ltd., Extreme Networks, Inc, Fortinet, ZTE Corporation, and D-Link, among others. The comprehensive report by EMR looks into the market share, capacity, and latest developments like mergers and acquisitions, plant turnarounds, and capacity expansions of the major players. 

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