{"id":201748,"date":"2025-06-21T05:31:12","date_gmt":"2025-06-21T05:31:12","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/201748\/"},"modified":"2025-06-21T05:31:12","modified_gmt":"2025-06-21T05:31:12","slug":"ai-gives-the-sleeping-network-switch-market-a-good-kick-the-register","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/201748\/","title":{"rendered":"AI gives the sleeping network switch market a good kick \u2022 The Register"},"content":{"rendered":"

The long-dormant market for datacenter network switches is booming thanks to AI.<\/p>\n

Analyst firm IDC on Wednesday shared<\/a> numbers from its latest quarterly switch tracker, which recorded $11.7 billion in revenue during the first quarter of 2025, a 32.3 percent year-over-year revenue increase. The firm says that this boom is being driven by growing deployment of “high-bandwidth, low-latency network infrastructure to support AI workloads.”<\/p>\n

IDC recorded 54.7 percent growth for datacenter switch revenue in the quarter, an acceleration faster than the 32.1 percent growth in 2024’s final quarter.<\/p>\n

Revenue from 200\/400 GbE switches surged 189.7 percent year-over-year in Q1.<\/p>\n

IDC also started tracking 800 GbE switches, which raked in $350.8 million, meaning they have quickly come to account for 5 percent of the market.<\/p>\n

Among vendors, Nvidia was the big winner, somewhat unsurprisingly as all of its switch revenue coming from datacenters. IDC found that its switch revenue grew “an eye-popping 760.3 percent year-on-year to reach $1.46 billion” and surged 183.7 percent between Q4 2024 and Q1 2025.<\/p>\n

Arista’s datacenter switch revenue grew 27.1 percent year-over-year to $1.6 billion, but Cisco datacenter switch revenue somehow managed to drop 3.2 percent, suggesting competitors are eating into its business in this red-hot segment. Its overall switch revenues grew 4.7 percent.<\/p>\n

Total non-datacenter-related revenue from campus and branch network switches also grew, but by a comparatively tame 9.6 percent.<\/p>\n

IDC also reported<\/a> on wireless LAN revenue this week and recorded 10.6 percent growth in Q1.<\/p>\n

“The market’s supply and demand dynamics are stabilizing after two years of volatility driven largely by the drawdown of backlogged product orders stemming from the COVID-19-era global supply chain crisis,” the firm found.<\/p>\n

Yet again, AI was a factor.<\/p>\n

“The fundamentals of the enterprise WLAN market remain strong, however, with exciting innovations such as 6 GHz Wi-Fi and AI-powered management capabilities continuing to power the next-generation of wireless connectivity,” said Brandon Butler, senior research manager for Enterprise Networks. \u00ae<\/p>\n","protected":false},"excerpt":{"rendered":"The long-dormant market for datacenter network switches is booming thanks to AI. Analyst firm IDC on Wednesday shared…\n","protected":false},"author":2,"featured_media":201749,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3163],"tags":[323,1942,53,16,15],"class_list":{"0":"post-201748","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-artificial-intelligence","10":"tag-technology","11":"tag-uk","12":"tag-united-kingdom"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/114719718367636505","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/201748","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=201748"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/201748\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/201749"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=201748"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=201748"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=201748"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}