Infrastructure Video Equipment to See Growth, Consolidation PDF Print E-mail
Written by Mike Buetow   
Wednesday, 06 March 2013 14:24

OYSTER BAY, NY -- The overall infrastructure video equipment market will grow an aggregate 35.7% to $3.8 billion dollars in 2017, up from $2.8 billion in 2012.

Video encoders represent the fasted growing sub segment of the market, growing over 10% annually, compared to the market as a whole, which grows at a 6% pace. Classic video servers, which are experiencing a high rate of integration, as well as replacement with more modern IP-based architectures, increase at about 3% annually.

“Significant consolidation is taking place within the video infrastructure hardware space,” according to Adarsh Krishnan, senior analyst at ABI Research. “In addition to the well-publicized acquisition by Arris of Motorola – creating a more healthy and diverse company – Harmonic recently spun off a small and low-margin business to Aurora Networks. Mature hardware companies, including Cisco, Ericsson and even Huawei are all turning their focus to higher margin services business as new entrants compete in well-understood sections of the equipment space.”



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