Growing in a market of shrinking budgets


Story Highlights

Data center revenue grows almost 31% from 2Q12 to 3Q12

Fastest growing Ethernet LAN vendor in 3Q12 for port growth with an 18% increase over 2Q12

Fastest growing supplier of enterprise-class wireless LAN with double the growth of the market

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Analysts find Alcatel-Lucent Enterprise significantly outpaced its competitors in a fiscally challenging time

What a tough year it has been in the telecom/network market. All of the commercial markets were affected by the events last year, even the network infrastructure market. According to an Infonetics report, the quarter-to quarter growth for Q3 of 2012 of Data Center Ethernet switch revenue saw only a 0.7% growth.  Similarly, Dell’Oro reported that for 3Q12, the overall Ethernet market in terms of ports also saw a growth of less than 1%.  In fact, overall market revenue in this challenging and competitive environment dropped by nearly 5%.

How do you float when everyone is sinking around you?
Despite the rough seas, Alcatel-Lucent Enterprise data center solution, port sales and revenue not only held their own, but actually increased during this same period. In fact, Alcatel-Lucent Enterprise:

  • Data center switching solution outperformed all other vendors with revenue growing almost 31% from 2Q12 to 3Q12, per Infonetics
  • Was the fastest growing Ethernet LAN vendor in 3Q12 in terms of port growth, with an 18% increase over the previous quarter, per Dell’Oro
  • Revenue grew by over 2% compared to the industry’s decline of nearly 5%, per Dell’Oro

There are many reasons Alcatel-Lucent Enterprise managed to stay in the black ranging from efficient operations to stellar support that helped sales.

Alcatel-Lucent Enterprise success extends beyond the data center being the fastest growing supplier in the largest enterprise-class segment of the wireless LAN market – dependent access points.

  • Sales grew over 35% sequentially, more than double the overall market growth of under 15%
  • Revenue grew 11.5% compared to the industry average of just 4.5%

Success by addressing the increased demand at the edge
The growth at the edge came from enterprises needing to address the increased demand for wireless access from personal devices as well as corporate issued phones and PCs. The solution architecture offers features and performance enterprises need in today’s evolving business environment – all with a price point that addresses the reduced budgets. For example, California State University is delivering on their vision of a next generation education infrastructure – but at the same time at a cost $100M less then what their incumbent vendor was offering.   

Products contributed to the increased sales
Alcatel-Lucent Enterprise solutions continue to improve from both a technical as well as cost viewpoint, improving the ability to help current and potential customers. The Alcatel-Lucent OmniSwitch 6900 and OmniSwitch 10K, key pieces in the Application Fluent Network vision, help deliver market-leading scalability, low latency while significantly reducing power requirements.

> Download the Infonetics announcement

> Download the Dell’Oro announcement