Consolidation Drives 10 Gig Ethernet Growth

Posted By Rich Miller On October 25, 2007 @ 3:22 pm In Consolidation | Comments Disabled

Andrew Schmitt from Nyquist Capital has posted some notes and observations [1]from the LightReading Ethernet Conference on Oct. 15-17. This includes a summary of the keynote from Level 3 (LVLT) senior VP Jeff Tench on trends in their Gigabit Ethernet business.

Andrew shares a number of interesting data points from the presentation. Here are a few highlights:
  • Level3 has 500 active 10GbE ports today.
  • Customers are approaching them looking for 10GbE hookups as they consolidate data centers into a single location to reduce costs.
  • (Growth of edge connections) is driving a need for very large, cheap 10GbE switches with 64 to 512 10GbE ports. This was echoed by Equinix (EQIX) two days later at the Gilder Telecosm.
When a data center consolidation reduces the number of facilities, it concentrates more bandwidth-apps in a single location. For companies consolidating a network of data centers, a consolidation also can extend the geographic distance between data centers and create lag issues (as reported by the Defense Contract Management Agency [2]). That’s where the bigger pipes come in handy. Read more at Nyquist Capital [1].

About Rich Miller [3]

Rich Miller is the founder and editor-in-chief of Data Center Knowledge, and has been reporting on the data center sector since 2000. He has tracked the growing impact of high-density computing on the power and cooling of data centers, and the resulting push for improved energy efficiency in these facilities.


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URL to article: http://www.datacenterknowledge.com/archives/2007/10/25/consolidation-drives-10-gig-ethernet-growth/

URLs in this post:

[1] notes and observations : http://www.nyquistcapital.com/2007/10/25/lightreading-ethernet-conference-notes/

[2] Defense Contract Management Agency: http://www.datacenterknowledge.com/archives/2007/Oct/16/data_center_consolidation_for_defense_unit.html

[3] Rich Miller: http://www.datacenterknowledge.com/archives/author/richm/

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