Switch Shipments Up, Revenue Down

According to Gartner's numbers for the third quarter, worldwide shipments of switches increased by double-digits over the same period last year, with 43.5 million units sold.

On the down side, however, overall revenues by switch makers fell by the same percentage over 2002's third quarter, proof that although volume is up, prices are definitely down.

"These results suggest that the market conditions are improving," said Rachna Ahlawat, a principal analyst for Gartner's enterprise networking group, in a statement. "However, it remains to be seen if the increase is just seasonal."

Cisco Systems continues to dominate the switch market, selling nearly four out of every 10 Ethernet-enabled switches. Among the hardest charging competitors are Hewlett-Packard, which saw its shipments climb by nearly 40 percent over last year, and Netgear, whose sales rose by 25 percent.

HP posted a 50 percent gain in switch revenues, by far the largest jump of the top five sellers.

*This story courtesy of Techweb.com.