This IDC study examines the worldwide and U.S. market for LAN switches by vertical industry and company size segment. Most LAN switch spending will be for upgrades to existing network infrastructure. IP voice, video, and wireless LAN adoption will incent many of these spending upgrade initiatives. The highly verticalized nature of these adoption trends will have significant ramifications on LAN switch spending.

"Innovative investments in voice, video, and wireless communication technologies will prompt spending on LAN switch upgrades in the banking, healthcare, manufacturing, and communications and media industries to grow at a significant rate over the forecast period. Network equipment vendors will need to develop targeted solutions for these markets to preempt competition and exploit revenue opportunities in key segments." — Dan Corsetti, IDC senior analyst, Vertical Markets