WAN Optimization Revenues Decline in 3Q13

Infonetics Research recently published preliminary data from its 3rd quarter 2013 (3Q13) Data Center Network Equipment report, sizing the Application Delivery Controller (ADC) and WAN Optimization markets.

According to Infonetics, global revenues for the ADC market reached $435 million during 3Q13. In terms of vendors, F5 remains the top vendor by revenue, followed by Citrix in the number two spot. A key driver for ADC growth are virtual appliances.

“We believe that virtual solutions will continue to move the application delivery controller (ADC) market forward, and while the shift to virtual products might brake top line revenue growth in the short term due to lower ASPs versus their hardware-based counterparts, it’s likely to be margin neutral,” Cliff Grossner, Infonetics Research’s directing analyst for data center and cloud, said in a statement.

The WAN optimization business isn’t doing as well as the ADC market, according to Infonetics’ analysis. WAN optimization revenues reached $210 million in the 3Q13 which is a nine percent year-over-year decline. Riverbed leads the WAN optimization market, followed by Cisco and Blue Coat.

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Sean Michael Kerner is a senior editor at InternetNews.com. Follow him on Twitter @TechJournalist.