Cisco drove the bulk of the increase in the enterprise wireless LAN market in the third quarter of 2007, according to Dell'Oro Group. The market continued its double digit year-over-year growth, expanding to a new quarterly record level of over $390 million. The next two largest vendors, Aruba and Motorola, maintained their positions, but were flat or slightly down sequentially.

“The enterprise wireless LAN market grew 37 percent in 2006, and we forecast it to expand another 20 percent this year, said Elmer Choy, Senior Analyst of Wireless LAN research at Dell’Oro Group.

“Despite the strong market performance over the past few years, wireless LAN penetration in enterprises is still only about 15 percent. Dependent access points and wireless LAN controllers, which now account for three quarters of the market revenue, have contributed significantly to this growth by enabling much larger networks, and will drive penetration to reach almost 30 percent over the next 5 years,” added Choy.

The report also indicates that several major vendors have already announced availability of Draft-802.11n access points for the enterprise market. These newer products have a higher average selling price than legacy products and are expected to account for 10 percent of total enterprise access point revenue in 2008.

About this study

The Dell’Oro Group "Quarterly Wireless LAN" report offers complete, in-depth coverage of the Service Provider, Enterprise, SOHO, and External Client Devices markets with tables containing manufacturers' revenue, average selling prices, and unit shipments by the following wireless standards: 802.11b, 802.11g, 802.11a/g and 802.11n.

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