Technology news: May 2005
Industrial Ethernet sales soar by more than 50% a year
The global market for Industrial Ethernet equipment will grow at a CAGR (compound annual growth rate) of 51.4% over the coming five years. This prediction comes from the market analyst ARC Advisory Group, which forecasts that the number of devices sold will rocket from 840,000 last year, to more than 6.7 million by 2009, while revenue from sales of Industrial Ethernet switches will climb from $124.4m to $939.8m over the same period.
ARC attributes the rapid acceptance of Industrial Ethernet to a combination of factors including its low total cost of ownership, its widespread availability, and familiarity with the technology.
"Ethernet technology is rapidly penetrating the device level of the automation hierarchy," says Ralph Rio, the report`s main author. "This provides one of those rare opportunities where a new technology can upset the supplier landscape. Those suppliers who pay close attention to the market dynamics will benefit."
At present, most industrial Ethernet switches are protected to IP20-40, but ARC forecasts an increasing demand for IP67-68 protection as industrial networking moves deeper into process control applications where liquids are present.