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FC Switch and Adapter Revenue to Approach $3 Billion in 2016

With CAGR of only 2%, expects Dell'Oro

In a newly-released SAN forecast report by Dell'Oro Group, Inc., the source for market information about the networking and telecommunications industries, FC switch and adapter revenues are forecast to approach $3 billion in 2016 at a CAGR of about 2%.

"Although Ethernet has become an increasingly popular storage network technology, FC is being used to backend the Ethernet systems," said Casey Quillin, senior analyst at Dell'Oro Group. "We forecast a portion of the server aggregation layer to shift away from FC, which will result in a decline in port shipments in the outer years.  However, we expect overall prices to rise with advanced data management features and the shift to 16 Gbps, resulting in positive growth throughout our forecast horizon," added Quillin.

The report also discusses alternative SAN technologies, such as FCoE. Vendors currently shipping FCoE enabled equipment include Cisco, HP, Brocade, Juniper, Emulex, and QLogic.

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