Data Center Switch Market Analysis and Forecast

Data center switches rate are also getting higher, going from 10G to 100G or even to 200G/400G/800G. Enterprises from a variety of industries use data centers to organize, process, store, and distribute massive amounts of data. Data centers are the foundation of networked computers and storage, also a focal point of day-to-day data activities and an enterprise crucial asset. Data center switches with varying rates, such as 25g, 40g, and 100g switches, also hold a significant market position at the moment.

Data Center Switch Market Trends

The growth of cloud computing and edge computing in recent years has driven the dramatic growth of the data center switch market. Changes in the localization of data center regulatory policies by governments in some regions have also paved the way for data center switches. However, high operating costs of data centers also hinder the growth of the market to some extent.

The data center switch market is also benefiting from technological advancements in AI smart devices. On the other hand, the rise in popularity of IoT and cloud computing will also encourage the incorporation of chips into data center servers, which is anticipated to provide lucrative growth opportunities for the global market for data center switches.

The deployment of 25G/50G/100G switches in data centers may get increase. Compared with 40G, a 25G network can achieve a smooth upgrade to a 100G or 400G network. This means that in the switch market, although 40G switches still occupy this part of the market, 25G and 100G switches will grow faster. 200G/400G switches will also gain a certain market position on the hyper-converged scale.

     ”Also Check- Data Center Switches: Timing the Move to 400G/800G

Data Center Switch Demand User Distribution

Divided by end users, it includes IT and telecom, government and defense, BFSI, retail, manufacturing, media, entertainment, etc. Due to the particularity of the financial industry, there is a huge demand for data storage, so the proportion of data center switches in this industry is relatively large. It is expected that in the next decade, the financial industry will continue to grow in demand, occupying the top position in the data center market.

Meanwhile, the demand for data centers in the manufacturing industry will also surge. Take the United States as an example. In 2020, the utilization rate of cloud technology in the U.S. manufacturing industry will increase by 140% in the first half of the year, and the new construction area of data centers will exceed 8 million square feet per year. In the next five years, the artificial intelligence chip market will produce an explosive growth of about 350%. Not only are virtual numbers derived from physical devices, but analysis, storage, and transmission also depend on physical devices.

In terms of regions, North America, Europe, Asia Pacific, and LAMEA will remain the main markets for data center switches. Enterprises in North America have begun to see hyperconvergence as a more viable alternative to traditional data centers because it combines storage, computing and networking into a single system, reducing data center complexity and increasing scalability sex. The popularity of hyper-converged infrastructure platforms is driving the data center market.

Data Center Switch Type

In 2021, Ethernet switches generated higher revenue, followed by InfiniBand switches. It is expected that the growth trend of the Ethernet switch market will continue to be increased in the next decade. Ethernet switches can provide ports of different speeds to support data transmission of enterprises of different sizes. Ultra-large data centers have begun to deploy 100G switches as the core layer. 25G switches and 40G switches are also common in data centers.

In terms of structure, the core and TOR switches are vital components of the data center network architecture. With the continuous growth of end-user data, TOR switches occupied a critical data center switch market share in 2021 and will continue to maintain high growth.

     ”Also Check- How to Choose a Right Data Center Switch

Data Center Switch Recommendation

The data center switch market is huge, and many different brands of switches have emerged, such as Cisco, Dell, Juniper, HPE, etc. FS is also a leading brand focusing on the research and development of network equipment, with data center switches of different speeds.

Both FS 25G switches and 100G switches support data center features, which can realize flexible deployment in multiple scenarios, and is ideal for medium to large data centers and cloud computing services with higher performance, low latency, zero packet loss, and non-blocking features.

Switch Chip
48x 10G SFP+, 8x 100G QSFP28
48x 10G SFP+, 6x 40G QSFP+
Support ONIE, Compatible with SONiC, Open Network Linux (ONL),Pica8 Inc. PicOS™ etc.
Broadcom BCM56864 Trident II+
48x 25G SFP28, 8x 100G QSFP28