Friday, October 28, 2011
Ethernet becoming more prominent in the Asia-Pacific
The Asia-Pacific region is seeing growing demand for Ethernet services. According to a recent Frost & Sullivan study, the rise of Ethernet throughout the area stems from a growing need for more advanced networking services and infrastructure capabilities.
The study found most regions are turning away from their older network technologies and making new investments in Ethernet. The legacy technologies being replaced include ATM infrastructure, frame relay networks and leased circuits.
A number of industry conditions are creating the need for faster data rates, which are fueling increased investments in IP-based technologies and Ethernet systems. These emerging trends range from cloud computing to data center consolidation, and deal, in a broad sense, with technological systems that force businesses to transmit more data through the network to improve operational efficiency and reduce spending.
Ethernet networks are also becoming more prominent in data center-to-data center networks, a logical place for more advanced infrastructure because so much data is transmitted between facilities, the study found. However, consolidation also generates more traffic between data centers, business headquarters and branch offices. As a result, the report said more businesses are casting aside their MPLS and IP VPN network infrastructure in favor of Ethernet to create high-performance connections between branch offices.
The report said Ethernet has not yet had a major impact on MPLS revenues in the region, but the time is coming when more large branches will be connected by Ethernet networks instead of high-performance MPLS infrastructure.
To a great extent, the rising Ethernet deployments are also being driven by regulatory concerns, as the study found the technology's built-in self-governance capabilities are proving attractive to businesses in the financial industry and other sectors where strict security standards are in place.
Ethernet deployment is becoming more prominent around the world, as the network infrastructure technology becomes more critical for businesses in a variety of industries. According to a recent Technorati report, Ethernet has become so important to enterprise operations that many companies are building network architectures into their facilities during construction. This represents a major shift from the traditional practice of establishing network systems in a reactionary process after workstations and other IT systems have been put in place. For example, the news source said Pricewaterhouse Coopers recently announced plans to establish built-in Ethernet at the office they are building in Toronto, making it the first facility in that metro area to employ the emerging practice.
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