Data Center Ethernet Switch Market Surpasses $20 Billion and 100 Million
Ports, Reports Crehan Research
400GbE and 800GbE Grow to One-Third of Total Annual Revenue
SAN FRANCISCO, March 24, 2025 — A late-year acceleration in branded switch
sales helped propel the total data center Ethernet switch market to beyond $20 billion
and 100 million port shipments in 2024, according to the latest report from Crehan
Research. The increase resulted in a record-high year for revenue and shipments,
with annual growth in both branded and ODM-direct data center Ethernet switching.
Key drivers were 400 gigabit Ethernet (GbE) and 800GbE, with these two
technologies increasing 50% year-on-year to comprise a third of total annual market
revenues (see accompanying chart).
“The
data
center
Ethernet
switch
market growth was
the result of a number
of
factors,"
said
Seamus
Crehan,
president of Crehan
Research. "There was
a return to buying new
switches by customers
who had overbought
as a result of the market’s earlier supply constraints. And in addition to that, we had
cloud service providers buying switches to network generative AI clusters.”
Crehan’s report notes that while the adoption of 400GbE data center switching has
been broad-based across applications and customer segments, the strong adoption of
800GbE has so far been primarily driven by generative AI. "The strong early
800GbE adoption is in line with our expectation that this technology will likely see
the fastest ever data center Ethernet switch speed ramp," 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 visit www.CrehanResearch.com.
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