Industry News
3Q24 Global High-End Router Market Down 19%
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Author : JIUZHOU
Update time : 2024-12-06 09:30:10
Global revenue from high-end router equipment fell for the fifth straight quarter in the third quarter of 2024. This decline was caused by factors like too much inventory held by customers.
A recent report from a market research group shows that global revenue for high-end router equipment has dropped. This decline has continued for five consecutive quarters. The report specifically covers the third quarter of 2024 (3Q24).
"The market contraction experienced by router vendors has lasted for five quarters."
"We expect vendors to see more orders and increased revenue as the market stabilizes. Customer inventory levels will return to normal. "
"Nokia seems to be the first company to come out of the adjustment phase. Its revenue from high-end routers has grown by almost 10%."
The group's group vice president said.
Other highlights of the 3Q24 Service Provider Router and Switch Report:
- This was the third consecutive quarter that core routers saw the largest decline. However, on the positive side, core router revenue remained stable on a quarter-on-quarter basis.
- The high-end router market shrank in all regions. North America experienced the biggest drop because of too much customer inventory. In 3Q24, North America fell 24% year-on-year.
- The high-end router market is expected to recover in 2025, growing 4%. This growth is due to the end of inventory adjustments. Better market conditions will also help. These include lower interest rates, normal inflation rates, and economic growth.
A recent report from a market research group shows that global revenue for high-end router equipment has dropped. This decline has continued for five consecutive quarters. The report specifically covers the third quarter of 2024 (3Q24).
"The market contraction experienced by router vendors has lasted for five quarters."
"We expect vendors to see more orders and increased revenue as the market stabilizes. Customer inventory levels will return to normal. "
"Nokia seems to be the first company to come out of the adjustment phase. Its revenue from high-end routers has grown by almost 10%."
The group's group vice president said.
Other highlights of the 3Q24 Service Provider Router and Switch Report:
- This was the third consecutive quarter that core routers saw the largest decline. However, on the positive side, core router revenue remained stable on a quarter-on-quarter basis.
- The high-end router market shrank in all regions. North America experienced the biggest drop because of too much customer inventory. In 3Q24, North America fell 24% year-on-year.
- The high-end router market is expected to recover in 2025, growing 4%. This growth is due to the end of inventory adjustments. Better market conditions will also help. These include lower interest rates, normal inflation rates, and economic growth.
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