Latest news with #SamehBoujelbene
Yahoo
17-07-2025
- Business
- Yahoo
Data Center Switch Front-End Networks Expand Rapidly to Keep Pace with AI Back-End Scale, According to Dell'Oro Group
More than 40 Percent CAGR in New AI Pull-Through Opportunities in Front-End Networks, Opening Doors for New and Existing Vendors REDWOOD CITY, Calif., July 17, 2025 /PRNewswire/ -- According to a recently published report by Dell'Oro Group, the trusted source for information about the telecommunications, networks, and data center industries, the explosive scale in AI back-end networks is driving the need for additional capacity in data center switch front-end networks for data ingest. We estimate that AI-driven pull-through opportunities will create a net new market expansion in front-end networks that will grow at a CAGR of over 40 percent from 2024 to 2029, presenting significant opportunities for both existing players and new entrants. "Over the past few years, data center switch sales in front-end networks for general purpose non-accelerated servers have been largely driven by brownfield deployments and upgrades of the installed base, as capacity expansion slowed significantly," said Sameh Boujelbene, Vice President at Dell'Oro Group. "AI back-end deployments are, however, breathing new life into this market. What's often overlooked is that within front-end networks, there's now a growing need for a new segment of connectivity—linking accelerated servers not to each other, but to the front-end network for data ingest. This additional capacity will require high-speed connectivity and command a price premium," added Boujelbene. Additional highlights from the Ethernet Switch—Data Center 5-Year July 2025 Forecast Report: Accton, Arista, Celestica, Cisco, Juniper, Huawei, NVIDIA, and others—emerge as the primary beneficiaries of this growth Despite some delays, nearly 90 million 800 Gbps and 1600 Gbps switch ports will be deployed in front-end networks over the next five years, leveraging 51.2 Tbps and 102.4 Tbps chips that will be available on the market. Shipments in back-end networks are expected to exceed that by more than three times. About the Report The Dell'Oro Group Ethernet Switch – Data Center 5-Year Forecast Report provides a comprehensive overview of market trends and includes tables covering manufacturers' revenue, port shipments, and average selling price forecasts for various technologies: Modular and Fixed by Port Speed; Fixed Managed and Unmanaged by Port Speed; SONiC by customer segments; and Co-Packaged Optics by Port Speed. We forecast the following port speeds: 1/10/25/40/50/100/200/400/800/1600 Gbps, and SerDes speed. To purchase this report, please contact us by email at dgsales@ About Dell'Oro Group Dell'Oro Group is a market research firm that specializes in strategic competitive analysis in the telecommunications, security, networks, and data center markets. Our firm provides in-depth quantitative data and qualitative analysis to facilitate critical, fact-based business decisions. For more information, contact Dell'Oro Group at +1.650.622.9400 or visit View original content to download multimedia: SOURCE Dell'Oro Group
Yahoo
16-07-2025
- Business
- Yahoo
Ethernet is Winning the War Against InfiniBand in AI Back-End Networks, According to Dell'Oro Group
$80 B in Ethernet Switch Spending Up for Grabs Over Next Five Years REDWOOD CITY, Calif. , July 15, 2025 /PRNewswire/ -- According to the recently published AI Networks for AI Workloads report by Dell'Oro Group, the trusted source for market information about the telecommunications, security, networks, and data center industries, Ethernet is winning the war against InfiniBand in AI back-end networks, potentially driving nearly $80 B in data center switch sales over the next five years. "When we first initiated our coverage of AI Back-end Networks in late 2023, the market was dominated by InfiniBand, holding over 80 percent share," said Sameh Boujelbene, Vice President at Dell'Oro Group. "Despite its dominance, we have consistently predicted that Ethernet would ultimately prevail at scale. What is notable, however, is the rapid pace at which Ethernet gained ground in AI back-end networks. As the industry moves to 800 Gbps and beyond, we believe Ethernet is now firmly positioned to overtake InfiniBand in these high-performance deployments. "Although Ethernet is gaining ground in AI back-end networks, a key question remains: how much of the Ethernet opportunity will be captured by NVIDIA versus other switch vendors? In 2024, Celestica, NVIDIA, and Huawei led the Ethernet segment of the AI Back-end Switch market. However, we anticipate significant share shifts in 2025 as large-scale Ethernet deployments at Meta, Microsoft, Oracle, and other GPU-as-a-Service Providers ramp up—creating opportunities for additional switch vendors such as Accton, Arista, Cisco, Juniper/HPE, Nokia, and others to gain traction," continued Boujelbene. Additional highlights from the July 2025 AI Networks for AI Workloads Advanced Research Report: Growth from GPU-as-a-Service Providers such as CoreWeave, Lambda Labs, Vultr, and others is projected to outpace that of Tier 1 Cloud Service Providers in the next five years. The majority of the switch ports deployed in AI back-end networks are expected to be 800 Gbps by 2025, 1600 Gbps by 2027, and 3200 Gbps by 2030. Co-packaged optic adoption in AI clusters will start to materialize in the next few years, led by NVIDIA. About the Report Dell'Oro Group's AI Networks for AI Workloads Advanced Research Report explores the use cases that optimize InfiniBand vs. Ethernet in AI back-end networks, as well as the choices made by large Cloud Service Providers. The report also provides a 5-year market forecast on a worldwide basis, by customer type, by InfiniBand vs. Ethernet, and by port speed. For more information about the report, please contact us at dgsales@ About Dell'Oro Group Dell'Oro Group is a market research firm that specializes in strategic competitive analysis in the telecommunications, security, enterprise networks, and data center infrastructure markets. Our firm provides in-depth quantitative data and qualitative analysis to facilitate critical, fact-based business decisions. For more information, contact Dell'Oro Group at +1.650.622.9400 or visit View original content to download multimedia: SOURCE Dell'Oro Group
Yahoo
05-06-2025
- Business
- Yahoo
AI Investments Shield Ethernet Data Center Switch Market from Tariff Disruptions, Shattering Sales Records, According to Dell'Oro Group
Celestica and NVIDIA Rise as Top Beneficiaries, Cementing their Dominance among the Elite Top 5 Vendors in the Market REDWOOD CITY, Calif., June 5, 2025 /PRNewswire/ -- According to a recently published report from Dell'Oro Group, the trusted source for market information about the telecommunications, security, networks, and data center industries, Ethernet Data Center Switch sales surged over 40 percent in the first quarter of 2025, marking the strongest growth since we began separately tracking the market in 2013 and breaking a new all-time high. Celestica and NVIDIA captured the lion's share of the gains, each expanding their revenue share by more than five percentage points. "AI investments continue to accelerate at unprecedented level, even amid tariff disruptions—propelling a surge in spending on the compute as well on the networking infrastructure that goes with it," said Sameh Boujelbene, Vice President at Dell'Oro Group. "Just two years ago, over 80 percent of AI clusters ran on InfiniBand, but Ethernet is striking back rapidly—gaining significant ground as reflected by the astonishing surge in Ethernet Data Center Switch sales during the quarter." Additional highlights from the 1Q 2025 Ethernet Switch–Data Center Report: Arista continues to lead the market for the fourth consecutive quarter. Celestica and NVIDIA are now among the top five vendors in the market. 800 Gbps switch sales eclipsed $1 B during the quarter. About the ReportThe Dell'Oro Group Ethernet Switch – Data Center Quarterly Report offers a detailed view of the market, including Ethernet switches for server access, server aggregation, and data center core. (Software is addressed separately.) The report contains in-depth market and vendor-level information on manufacturers' revenue; ports shipped; average selling prices for both Modular and Fixed Managed and Unmanaged Ethernet Switches (1, 10, 25, 40, 50, 100, 200, 400, 800, ≥1600 Gbps); revenue split by market segments as well as regional breakouts. To purchase these reports, please contact us by email at dgsales@ About Dell'Oro GroupDell'Oro Group is a market research firm that specializes in strategic competitive analysis in the telecommunication, security, enterprise networks, and data center infrastructure markets. Our firm provides in-depth quantitative data and qualitative analysis to facilitate critical, fact-based business decisions. For more information, contact Dell'Oro Group at +1.650.622.9400 or visit View original content to download multimedia: SOURCE Dell'Oro Group Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
