VSG: Big Ethernet Growth

Aug. 24, 2015
According to Vertical Systems Group's U.S. Carrier Ethernet LEADERBOARD results for mid-2015, the first half of the year saw major ...

According to Vertical Systems Group's U.S. Carrier Ethernet LEADERBOARD results for mid-2015, the first half of the year saw major growth in the number of deployed Ethernet ports nationwide. The leaders are (in rank order based on retail port share): AT&T (NYSE:T), Level 3 (NYSE:LVLT), Verizon (NYSE:VZ), CenturyLink (NYSE:CTL), Time Warner Cable (NYSE:TWC), Comcast (NASDAQ:CMCSA), XO and Cox. Port shares were calculated using the base of enterprise installations of Ethernet services, plus input from surveys of Ethernet providers.

"U.S. Ethernet port growth was unprecedented in the first half of 2015 and easily surpassed previous estimates. This market seems to be defying the law of large numbers, as there are few indications of the typical slowing growth patterns that we look for when services reach this size and maturity," wrote Rick Malone, principal at VSG. "Primary drivers for growth are massive migration from TDM to Ethernet services, robust demand for higher speed Ethernet private lines and rising requirements for connectivity to public and private clouds."

Pending mergers could shake up the Ethernet marketplace by the end of 2015, VSG says. In April 2015, Comcast ended its bid to acquire Time Warner Cable in the face of strong consumer opposition and regulatory hurdles. In May, Charter announced a merger that includes both Time Warner Cable and Bright House. Currently pending regulatory approval, that deal has the potential to change the U.S. Ethernet competitive landscape as significantly as Level 3's acquisition of TW Telecom in 2014.

About the Author

BTR Staff

EDITORIAL
STEPHEN HARDY
Editorial Director and Associate Publisher
[email protected]
MATT VINCENT
Senior Editor
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SALES
KRISTINE COLLINS
Business Solutions Manager
(312) 350-0452
[email protected]
JEAN LAUTER
Business Solutions Manager
(516) 695-3899
[email protected]

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