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Year End 2007 - Sector Insights: Metro Ethernet Coming On Strong

The proliferation of content rich applications and bandwidth-intensive services has led to the need for networks that are faster, smarter, and cost-effective to deploy, manage and maintain. Ethernet has proven itself to be highly capable for certain demanding applications and innovations in the standard continue to extend its reach, add functionality and find broader implementations.


Metro Ethernet carriers are riding a wave of demand. Some providers have told NPRG that they expect to have “as much business as [they] can handle.” While much of the demand is still concentrated in specific industries and particular applications, a continual record of success is breeding additional customer interest. As next-generation networks are adopted, legacy network technologies are proving to be cost-prohibitive and demand for Metro Ethernet will continue to grow, drawing more providers and provider investment into the market.

Ethernet Services Revenue, 2001-2008

           Source: New Paradigm Resources Group, Inc.
Providers' Total Metro E Revenue, 2001-2008
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Looking Ahead

Metro Ethernet has excellent prospects for the future. Now that measurable demand for Ethernet access and transport services has emerged, service providers are working hard to meet this demand. Market drivers are creating “pull” for additional services. Large established carriers have made Metro Ethernet a highly visible part of their access portfolios, while smaller entrepreneurial providers have established themselves and appear to be making more prudent business decisions than in years past. Metro Ethernet providers have much to look forward.

Contact Us

For more insights into where the Metro Ethernet Service Providers are now and where they are heading, please call us now at (312) 980-7823 or send us an email at info@nprg.com.  Our new Continuous Information Services offers client-customized portals which give clients accurate, current, and actionable information and analysis, including the ability to request specific research needed to stay competitive.




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