EMEA LAN switch market up by 10.6% in Q4 2005
As a result of the increased demand for fast Ethernet LAN switches and strong price erosion in the Gigabit Ethernet segment in Q4 2005, the average sales price (ASP) of LAN switches declined strongly by 8.9% to $61.9 per port during the quarter, compared to an increase of 1.5% in the period from Q2 2005 to Q3 2005. During Q4 2005, a number of vendors were able to grow both their port shipments and revenues with double digits, namely Nortel, Alcatel, Belkin, and SMC (Accton), and as a result were able to grow their market shares. The largest vendor measured in revenue in Q4 2005 was Cisco, with a market share of 65.8%. During the fourth quarter, Cisco lost most of its revenue market share it gained in the previous period. HP Procurve, Cisco's main rival in this market, was able to increase its revenue market share. The other major LAN switch vendors were Nortel, 3Com, and Extreme.