Ethernet Services Top $6 Billion in 2011

Revenue for U.S. Ethernet services exceeded $6 Billion in 2011 despite price compression.

BOSTON, MA, JANUARY 24, 2012 —
Vertical Systems Group’s research on end-site Ethernet service installations confirms that the U.S. market topped $6 billion in 2011. Revenue growth was solid despite ongoing compression of average street prices. Total market revenue includes all Carrier Ethernet services and associated rate elements.

“2011 was an upbeat year for the U.S. Ethernet services market, even though competitive pricing pressures were clearly evident, particularly for mid-speed services,” said Rick Malone, principal at Vertical Systems Group. “Economic uncertainty was also a challenge for Ethernet Service Providers competing in the U.S. market, but much less so than in markets throughout Europe.”

The latest analysis also indicates steady base expansion for each of the three major U.S. Ethernet provider segments: Incumbent Carrier, Competitive Provider and Cable MSO. Final 2011 U.S. and Global LEADERBOARD market share rankings will be released publicly in early February. Detailed share results are available to subscribers of Vertical Systems Group’s syndicated ENS research service.

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