The global data center
interconnect market size is projected to grow from USD 7.9 billion in 2020 to USD 14.0
billion by 2025; it is expected to grow at a CAGR of 12.1% from 2020 to 2025.
Drivers such as the migration toward the cloud and the growing borderless
nature of global economy and opportunities such as the anticipated deployment
of 5G and proliferation of applications are expected to fuel the growth of the
data center interconnect industry.
Based on type, the
market has been segmented into products, software, and services. Based on
application, the data center interconnect market has been segmented into
real-time disaster recovery and business continuity, shared data and
resources/server high-availability clusters (geoclustering), and workload (VM)
and data (storage) mobility. Based on end-user, the market has been segmented
into CSPs, CNPs/ICPs, government, and enterprises. The market has been studied
for four main regions—Americas, Europe, Asia Pacific (APAC), and the Rest of
the World (RoW).
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The major players in
the data center interconnect market are Ciena Corporation (US), NOKIA
Corporation (Finland), Huawei Technologies Co., Ltd. (China), Juniper Network
Inc. (US), Infinera Corporation (US), ADAVA Optical Networking (Germany), CISCO
Systems, Inc. (US), Extreme Network (US), and Fujitsu (Japan).
CIENA CORPORATION
Recently, Ciena
Corporation acquired the privately-held Centina, a leading provider of service
assurance analytics and network performance management solutions. Service
providers use Cienas Blue Planet Packet DCI solution, powered by the Blue
Planet MDSO, to intelligently automate operations and end-to-end service
fulfillment across multi-vendor domains.
The focus currently
lies in accelerating the Blue Planets software strategy of providing
closed-loop intelligent automation solutions that help communications service
providers improve operational agility while delivering highly differentiated
customer experience. Currently, Ciena Corporations focus lies in the North
American market. However, Ciena could extend its geographic focus by driving
organic growth in the APAC market. For instance, Ciena can tap the Indian
market since some of the governments ambitious initiatives, such as the Digital
India Initiative, will result in more data generation across platforms such as
the cloud. Moreover, increasing social media access due to the rising number of
smartphone users is expected to provide growth opportunities for the company.
HUAWEI TECHNOLOGIES CO. LTD.
Huawei has recently
been focusing on limitations faced by data centers, which operate on cloud
computing and Big Data, such as traffic migration and bandwidth malfunctioning.
Huawei places paramount importance on next-generation networks and continuously
accelerates technological innovation. To handle traffic growth between data
centers that went beyond their provisioning, they are now using 600G technology
to reduce the cost per bit and build a more competitive DCI network. A growth
strategy involving expanding operations within the North American region can
help them drive future growth. The market in North America is attractive as a
result of the increasing usage of data centers across various business
verticals and due to its early adoption of the latest technologies. Moreover,
the growth rate is driven by countries like the US, where data centers manage
the high volume of data generated, fueling the data center interconnect market
growth.
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