| The low-end router segment includes SOHO routers (cable/DSL/other and wireless) and branch office routers. The service provider markets have slowed, but the low-end routers continue to increase. In 1H 02, total router unit shipments increased 68% from 1H 01. This increase was due to the growth in SOHO routers, which doubled in volume from 1H 01. SOHO routers continue to comprise the largest percentage of total router unit shipments, roughly 96%. New routers introduced by Vina, ADTRAN, Perle Systems, Hitachi, Quick Eagle, and Netopia are expected to compete with Cisco's routers in upcoming quarters.
Continued spending in the SOHO and branch office router segments will lead to increased shipments of the enterprise, edge and core routers. The largest market driver for service provider routers will be increasing end-user acceptance of broadband and other highly intensive applications.
This report discusses the factors impacting the low-end router market, including SOHO and branch office routers, and provides a five-year forecast, along with regional percentages and a SOHO router Bill of Materials.
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