Generative AI Drives Record Data Center Ethernet Switch Results in 1H25,

Crehan Research Reports

25% Increase in Revenues and Shipments

SAN FRANCISCO, September 9, 2025 — The data center Ethernet switch market

delivered a very robust increase in the first half of 2025, with revenues and shipments

each growing by 25% year-over-year, according to a new report from Crehan

Research. While demand for general data center compute networking was solid,

generative AI was a key growth driver of the strong Ethernet switch results. In

correlation with the generative AI growth, there was a surge in 800 gigabit Ethernet

(GbE) switch deployments, whose adoption is turning out to be much faster than that

of 400GbE. This is especially true for branded 800GbE data center switching with

an adoption curve, to date, that is almost one hundred times better than that of

400GbE – see accompanying figure.

"Generative AI has

dramatically changed

the ramps for new

higher

Ethernet

speeds, driving much

steeper and

faster

adoption

curves,"

said Seamus Crehan,

president of Crehan

Research.

Specific vendor highlights from Crehan’s data center switch report include:

• Arista’s 800GbE shipments neared a 3 million port annualized run-rate in

2Q25, its quickest ever timeframe to approach this quarterly amount with a

new Ethernet speed. As a result, Arista took the top market share position in

the 800GbE branded data center switch segment.

• Driven by strong China hyperscaler demand, H3C saw its 400GbE shipments

more than double in 2Q25, to surpass a million ports in the quarter. H3C

currently has the second largest market share in branded data center 400GbE

switch shipments.

• Huawei’s data center Ethernet switch revenue almost doubled sequentially on

the strength of AI network deployments, and its switches are part of the

recently introduced CloudMatrix 384 AI system.

"The networking of large generative AI cluster build-outs is driving some dramatic

quarter-to-quarter market share shifts in the highest speeds of the data center

Ethernet switch market," Crehan said.

About Crehan Research Inc.

Crehan Research Inc. produces reports with very detailed statistics and information

on the data center switch and server-class adapter & LOM/controller (NIC) markets.

The company’s reports are supported with rich insights and context to deliver

increased value. For more information about Crehan Research Inc. visit

www.CrehanResearch.com.

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