Fast Ethernet surpassed Ethernet switch sales for the first time in the third quarter of the year, according to a study by Cahners In-Stat Group in the US. It also found that router market revenue reached an all-time high in the quarter, and that ATM equipment sales slowed.
In-Stat reported that Fast Ethernet switches represented 49.9 per cent of all total LAN switch ports shipped, and 61.5 per cent of revenue. The study found that overall, switch port shipments increased 24 per cent to 13.17 million, but revenue increased just 1 per cent. Cisco led the LAN packet-switch market with 36.3 per cent of revenue.
The router market also continued to grow, driven by the relatively new category of Layer 3 switch routers, In-Stat reported. Total router revenue increased 7 per cent from the previous quarter to a record $US1.8 billion, propelled by a strong initial market for switch routers and surging sales of midrange routers. Cisco maintained its router leadership with 66.7 per cent of revenue, but this figure decreased from 71 per cent in the first quarter.
ATM equipment sales dropped 3 per cent from the second to the third quarter. In the LAN, ATM switch revenue dropped 10 per cent, In-Stat reported.