Posted By Lisa Huff On July 12, 2011 @ 9:30 am In Peering | 4 Comments
Interconnections have always been a key focus for data centers located in areas with high concentrations of network service providers. Some of these data center providers are now investing in specialized exchanges to support Carrier Ethernet services.
The Metro Ethernet Forum’s formal definition of an Ethernet Exchange, a form of an External Network-Network Interface (ENNI), is “an interconnect point among service providers where Carrier Ethernet Services are exchanged.” From an end user’s point of view, you want your service provider to supply this service so you can have a direct Ethernet connection from end-to-end.
End Users See Benefits of Ethernet
Today, most enterprises are still encapsulating their native Ethernet data into TDM/SONET/SDH then de-encapsulating it at the other end. However, more and more, end users are seeing the benefits of Ethernet Services and perhaps eventually, the entire public network may be running native Ethernet.
While it is rather difficult to quantify this market, Ethernet exchanges services are expected to have around a 20-percent CAGR over the next five years starting at 100’s of millions of dollars in 2011. Plenty of revenue to support the few entrants that have decided to focus on it so far.
Article printed from Data Center Knowledge: http://www.datacenterknowledge.com
URL to article: http://www.datacenterknowledge.com/archives/2011/07/12/market-overview-carrier-ethernet-exchanges/
URLs in this post:
 : http://www.datacenterknowledge.com/archives/2010/07/19/cenx-offers-take-on-ethernet-exchanges/
 Equinix: http://www.datacenterknowledge.com/archives/2010/04/12/equinix-launches-carrier-ethernet-exchange/
 Telx: http://www.datacenterknowledge.com/archives/2010/06/03/telx-launches-ethernet-exchange/
 acquired Tinet: http://www.datacenterknowledge.com/archives/2010/09/09/neutral-tandem-buys-tinet-for-95m/
 Lisa Huff: http://www.datacenterknowledge.com../contributing-editor-lisa-huff/
 DataCenterStocks.com: http://www.datacenterstocks.com/
 Discerning Analytics: http://www.discerninganalytics.com/
 Lisa Huff: http://www.datacenterknowledge.com/archives/author/lisahuff/
Copyright © 2012 Data Center Knowledge. All rights reserved.