AI Infrastructure Investments Will Lift Data Center Capex to Over $500 Billion by 2027, According to Dell’Oro Group
|“Despite near-term data center capex growth headwinds as the major cloud service providers and enterprises optimize their infrastructure, forthcoming technology transitions will stimulate long-term growth,” said Baron Fung, Senior Research Director at Dell’Oro Group. “Most notably, the hyperscale cloud service providers will prioritize their investments toward accelerated systems for AI applications for both their public cloud platform and SaaS offerings.
5-Year Network Security Forecast Revised Upward On Strength of Campus Edge, According to Dell’Oro Group
|“During the depths of the Covid-19 pandemic, spending on data center security solutions, such as high-end firewalls and web application firewalls, accelerated as enterprises put their digital transformation initiatives into high gear but now have been decelerating and are expected to do so for the next couple of years,” said Mauricio Sanchez, Sr. Director, Enterprise Security and Networking at Dell’Oro Group
Campus Switch Sales to Exceed $100 B Between 2023 and 2027, According to Dell’Oro Group
|“Given the sustained high level of backlog combined with the unexpectedly rapid improvement in supply, we have raised our revenue forecast for 2023 to show a high-single digit growth in this market. It is worth noting that this projection comes despite a tough comparison with 2022 during which the market experienced a robust double-digit growth,” said Sameh Boujelbene, Vice President at Dell’Oro Group.
$18 Billion Microwave Transmission Equipment Revenue Over Next Five Years, According to Dell’Oro Group
|“Demand for Microwave Transmission gear is on the upswing,” said Jimmy Yu, Vice President of Dell’Oro Group. “The growing number of 5G rollouts occurring globally is feeding the need for more wireless mobile backhaul. This is especially true for E-band systems since they were designed to efficiently transmit multiple gigabits of bandwidth. Hence, we are projecting shipments of E-band radios to grow at a 22 percent CAGR for the next five years.”
