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High Demand for Cloud Services Driving the Data Center Switch Market

The overall data center switch market is expected to increase from USD 13.91 billion in 2018 to USD 17.69 billion by 2023, at a CAGR of 4.92 percent, estimates Research and Markets. Some of the key factors driving the market growth are the need for simplified data center management and automation, high demand for cloud services, and surge in the internet multimedia content and web applications.

Access switches are to account for the largest market share in 2017 mainly due to a wide network connectivity offered by these switches to distribution layers as well as different end users. Access switches need more number of ports to move the data from one network to another so that the load can be balanced. Thus, these switches ensure connectivity between servers and networks.

The market for InfiniBand switches is expected to grow at the highest rate during 2018–2023. The highest growth of InfiniBand switches is largely because of the high-bandwidth solution for each port under a competitive price that InfiniBand switches offer. In the data center switch market, >1 Gbps to <10 Gbps bandwidth switches are widely adopted as they meet the requirements of most of the distribution and access switches. >1 Gbps to <10 Gbps switches are available over access, distribution, and core hierarchical layers in data centers.

Cisco (US) is one of the leading companies in the data center switch market, followed by Arista Networks (US), Huawei (China), HPE (US), and Juniper Networks (US) with a large contribution to the parent market share and high financial power, providing a broad product portfolio in the data center switch market with a strong technical expertise.

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