Networking equipment market may grow 15%

BANGALORE: The market for enterprise networking equipment in India is estimated to grow from $1 billion in 2008 to $1.7 billion by 2012, recording a compounded annual growth rate (CAGR) of 15% during this period, says a study done by Springboard Research.

Springboard in its study called ���Epicenter of Growth: Indian Enterprise Networking Equipment Market Report,��� said that banks and the government sectors are the largest market verticals, cornering over 37% of the total market in 2008. The overall networking equipment market is divided into data, voice and network security equipment.

The study says that global recession will have a moderate impact on the market in India, but growing demand for integrated, high-end solution, managed-network services and network security will carry the momentum forward.

���There is tremendous potential for the growth of enterprise networking in India, given the current low standard of telecom infrastructure in the country, government focus on increasing broadband penetration and lack of basic infrastructure in many areas,��� said Nupur Singh Andley, senior research analyst-connectivity, Springboard Research.

According to the survey, the top three enterprise concerns related to networking are ��� network performance, reliability or availability of networks and applications, and security. On the other hand, operational costs and capital expenditure concerns ranked lower.