Enterprise IT Infrastructure Spending Rose
13% in 2018
Data center servers comprise the largest segment of the market and it was also the highest-growth segment, up almost 26% due to more highly featured configurations and higher ASPs. Switches & routers is the second-largest segment and it experienced growth of 3%. Hosted & cloud collaboration was the second highest growth segment, up 22% and benefitting in part due to a decrease in spending on on-premise collaboration products. Meanwhile spending on both network security and WLAN increased moderately from the previous year.
Cisco remains the dominant enterprise vendor, being the market leader in most of the segments. In aggregate across all of the segments Cisco’s market share over the last four quarters was 23%, down two percentage points from the preceding four quarters. This was due primarily to the large and substantially higher growth server segment, where Cisco is only ranked as the fifth placed vendor. Across the other segments, its market share remained relatively constant.
HPE is the second ranked enterprise vendor
with a market share of 11% across the six
segments. It is the leader in data center
servers, the number two ranked vendor in
WLAN and ranked third in switches & routers.
Beyond these two, other vendors who lead or
are ranked second in the segments are Dell
EMC (enterprise data center servers), Huawei
(switches and routers), Microsoft
(collaboration), and Check Point (network
security). Other major vendors who have
achieved particularly high 2018 growth rates
in these highly competitive markets include
Lenovo, Inspur, twilio, RingCentral,
Ubiquiti and Palo Alto Networks.