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See Full StoryHard-to-visualize functionality, complex feature descriptions, an invisible presence in the network, and boring names, taken together, sum up why the enterprise Ethernet switching market does not get the attention it deserves. But Ethernet switching is a multibillion-dollar market that CIOs spend a lot of time scrutinizing. And although the market is on the same rough road as other high-tech products, there are some bright spots. What do IT execs need to know about the big business of high-tech switching?
Re: The Big Business of Network Switches
Posted by: John F Mazzaferro 2003-04-08 20:27:41 In reply to: Vincent Ryan
I have some comments on your article "The Big Business of Network Switches." My comments are listed below.
In your article you state:
"Complicating matters is the fact that prices of many switching products are falling fast. Consider 10-Gigabit Ethernet switches. Their average price has fallen from $70,000 two years ago to $30,000 last year to less than $10,000 this year, according to Kerravala."
This is not correct information. If you look at any complete 10 gig product and add in the required optics to travel any distance (10 Klm to 40 Klm) you will see the cost is more like $100,000. The required optics (1310NM or 1550NM) is double the $10,000 you state for the entire product.
In your article you also state:
"For the most part, companies don't need that much bandwidth," Kerravala noted. "They're not tapping out their 10-Gigabit and 100-Gigabit networks right now."
I think you ment to state 10 Mbps and 100 Mbps not 10 Gbps and 100 Gbps. All major Ethernet networks today are either 10 Mbps or 100 Mbps with virtually all new installations being 100 Mbps. More and more 1 Gbps links are being installed and 10 Gbps is beginning to show up in limited qtys. Trials on 40 Gbps are taking place. There is no 100 Gbps. You should point this error out to your readers.
In your article you state:
"Complicating matters is the fact that prices of many switching products are falling fast. Consider 10-Gigabit Ethernet switches. Their average price has fallen from $70,000 two years ago to $30,000 last year to less than $10,000 this year, according to Kerravala."
This is not correct information. If you look at any complete 10 gig product and add in the required optics to travel any distance (10 Klm to 40 Klm) you will see the cost is more like $100,000. The required optics (1310NM or 1550NM) is double the $10,000 you state for the entire product.
In your article you also state:
"For the most part, companies don't need that much bandwidth," Kerravala noted. "They're not tapping out their 10-Gigabit and 100-Gigabit networks right now."
I think you ment to state 10 Mbps and 100 Mbps not 10 Gbps and 100 Gbps. All major Ethernet networks today are either 10 Mbps or 100 Mbps with virtually all new installations being 100 Mbps. More and more 1 Gbps links are being installed and 10 Gbps is beginning to show up in limited qtys. Trials on 40 Gbps are taking place. There is no 100 Gbps. You should point this error out to your readers.
