Sales of 25 Gbps Controller and Adapter Ports to Grow at 45 Percent Compound Annual Growth Rate Over the Next Five Years

25 Gbps Will Be the Mainstream Speed in Cloud and Enterprise Servers

According to a recently published report by Dell’Oro Group, sales of 25 Gbps controller and adapter ports is forecasted to grow at a 45 percent compound annual growth rate over the next five years. 25 Gbps will be the mainstream speed in cloud and enterprise servers.

“25 Gbps has seen a strong initial ramp-up and is now expected to be the dominant speed over the next five years. We have seen Amazon and Facebook as early adopters of 25 Gbps technology, but more end users are transitioning as product availability increases,” said Baron Fung, Senior Business Analysis Manager at Dell’Oro Group. “There’s been a steady wave of 10 Gbps to 25 Gbps migration as other cloud service providers and high-end enterprises renew and upgrade their servers. Shipment of 25 Gbps ports is expected to peak in 2021, when 50 and 100 Gbps products based on 56 Gbps serial lanes start to ramp-up,” said Fung.

Additional highlights from the Server 5-Year Forecast Report:

• The total controller and adapter market is forecasted to grow at a four percent compound annual rate, with 25 Gbps sales driving most of the growth.
• Smart NICs could offer adapter vendors an opportunity to introduce innovative new products at higher price point, which could lower the total cost of ownership in the data center

About the Reports

The Dell’Oro Group Controller and Adapter 5-Year Forecast Report offers complete in-depth coverage of the Ethernet Controller and Adapter market with tables covering manufacturers’ revenue, average selling prices, and port shipments for 1 Gbps, 10 Gbps, 25 Gbps, 40 Gbps, 50 Gbps and 100 Gbps Ethernet controllers and adapters.  To purchase this report, please contact Daisy Kwok at +1.650.622.9400 x227 or email Daisy@DellOro.com.

About Dell’Oro Group
As the trusted source for market information about the networking and telecommunications industries, Dell’Oro Group provides in-depth, objective research and analysis that enables component manufacturers, equipment vendors, and investment firms to make fact-based, strategic decisions.  For more information, contact Dell’Oro Group at +1.650.622.9400 or visit www.DellOro.com.