A recent report pulbished by analyst Dell’Oro Group (27 February 2013) shows that the wireless LAN (WLAN) market posted 15% revenue growth in Q4 2012 compared with the same period the year before.
Outdoor shipments were strongest, followed by enterprise-class devices. Small office home office (SOHO) devices experienced weaker growth than other segments in its second full quarter of 802.11ac shipments.
‘WLAN vendors are working towards deeper integration with wired network and software infrastructure. The promise of both types of integration will be to allow lower cost or more secure operations,’ explained Chris DePuy, analyst of Wireless LAN research at Dell’Oro Group.
‘Additionally, the small business and distributed branch opportunity has become a focal point for the industry. Soaring WLAN usage has driven owners of smaller-sized locations to increase the number of access points, forcing them to choose between either managing a larger number of SOHO-class devices one at a time, or upgrading to enterprise-class systems.
‘This phenomenon has represented an expansion of the enterprise-class WLAN market, benefitting primarily vendors offering cloud-managed and controller-less systems,’ said DePuy.
In the fourth quarter, vendors in the combined enterprise-class and outdoor mesh nodes category that grew year-over-year revenues fastest were Aerohive, Cisco, Ericsson, Ruckus Wireless, and Xirrus.
In the SOHO market, NETGEAR was top-ranked by shipments, followed by D-Link. In the service provider Wi-Fi market, Cisco Systems, Ericsson and Ruckus Wireless were the top three vendors by revenue.
Ruckus Wireless share
Commenting on the report, Ruckus Wireless said that according to the Dell’Oro's analysis it posted the strongest growth among all wireless vendors of 74% year over year in worldwide total manufacturer revenue for enterprise and outdoor wireless LANs from 2011 to 2012.
The report says the total market revenues for enterprise and outdoor wireless LANs topped US$3.7bn, up 23% year over year. Compared with all wireless suppliers within the global market for enterprise and outdoor wireless LAN (WLAN) products, Ruckus realized the largest gain in market share (101%) from 2011 to 2012 relative to units shipped worldwide.
The Dell’Oro report also noted that in 2012, the top two wireless LAN vertical markets were education, constituting 24% of the market, and service provider, which made up 14% of the market. 4Q12 revenues for the service provider vertical hit a record US$109m, more than double the revenues of 4Q11.
According to the report, Ruckus garnered #2 market share position in the service provider Wi-Fi segment with a 17.0% share of the market by revenue and a 20.6% share by unit shipment in the year 2012.
‘Our strong showing in the 2012 Dell’Oro report reflects the global appetite for more mobile connectivity and capacity to address the data traffic tsunami hitting enterprise and service provider networks alike,’ said Robert Mustarde, VP of marketing for Ruckus Wireless.
Smart Wi-Fi trending up in North America, Europe and Asia
The report also revealed that in the North American WLAN market, Ruckus realized strong growth in shipments of both its indoor and outdoor Wi-Fi equipment, seeing market share growth from 2011 to 2012 of 72% and 64%, respectively.
In Europe, Ruckus saw its enterprise WLAN market share for unit shipments of indoor Wi-Fi products increase 67% from 2011 to 2012. And in Asia Pacific, Ruckus WLAN market share for enterprise indoor product shipments increased approximately 40% from 2011 to 2012.