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Shift from Legacy Technology to Ethernet and IP Based Technology

Most of the companies are shifting from legacy technology to Ethernet and IP based technology due to convenience and cost savings. New analysis from Frost & Sullivan reveals that Metro Area Network Test Equipment Market earned revenue of USD 591.7 million in 2004 and estimates to reach USD 1,115.9 million in 2011.

Many of the large enterprises have their own private networks, which can be used to carry voice along with the data already carried. This enables them to reduce costs and avoid termination fees, which they need to pay telecom service providers and carriers. With the widespread adoption of Ethernet, Gigabit Ethernet, 10 Gigabit Ethernet, and IP services there is expected to be more demand for the 'MAN' test equipment over the forecasted period.

"With the convergence of multiple network technologies, more companies and enterprises are discovering the advantages of a single network for voice, data and video communications, "says Frost & Sullivan Research Analyst Olga Yashkova. "Though, the cost savings associated with single network are truly significant, it is a critical challenge to maintain and test the converged networks."

Along with the many advantages, convergence of multiple networks brings along with it complexity issues. Though convergence reduces risk with the easier scalability, it is highly complex to maintain and troubleshoot the converged networks.

"With the emergence of a number of new technologies, leading test equipment vendors are highly challenged in the metro area networks market," says Yashkova. "The emergence of these new technologies has been driven by the increasing significance of data traffic in these networks and the inability of the current network infrastructure to carry this type of data in an efficient enough manner. In order to overcome this challenge, test equipment vendors in the R&D space need to size the potential of each technology and players in the I&M space need to provide test equipment to test all the new as well as legacy technologies seamlessly."


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