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04/14/1998

Network Product Support Market To Exceed $7.5 Billion By 2002 Reports IDC

FRAMINGHAM, Mass., April 14, 1998 — The exploding use of client/server and IP networks for supporting mission-critical applications across an enterprise has left service providers of all types scrambling for ways to provide 99 percent and higher up-time levels across all customers and geographies. According to a new study published by IDC's Network Support and Integration Services research program, as demands for premium levels of network up-time and system

availability increase both in the U.S. and abroad, the market for network support services will grow to more than $7.5 billion by 2002.

During 1997, networking companies continued to form alliances with a variety of service partners to deliver business-critical and global technical support to their customers. However, these end users continue to be customers whose networks are rapidly expanding in both size and complexity, carrying high-speed multimedia traffic to both on-site and remote users, heterogeneous (with respect to the number of different vendors' hardware and software being interconnected), and worldwide in scope. This complexity continues to pose a significant hurdle to global service providers attempting to deliver premium levels of technical support.

Although, in the past, networking equipment vendors typically turned to field service partners such as IBM Global Services, Hewlett-Packard, Digital, Unisys, or NCR to deliver on-site support (largely because of these vendors' global presence and multivendor capabilities), the pool of potential partners has now changed dramatically in size and composition because of the passage of the Telecommunications Act of 1996. The RBOCs, IXCs, global outsourcers, and other large-scale service providers are now launching the network integration and support lines of businesses, with contracts that include the provision of on-site service and support on their alliance partners' hardware.

This new IDC report, 1998 Network Product Support Services Worldwide Market and Trends, 1995?2002 (IDC #B15665), focuses on the markets for phone, electronic, and on-site support, in addition to support-related services such as parts repair, predictive and preventative maintenance, inventory management and remote diagnosis. In addition, the report segments the market not only geographically but by type of device supported, including: routers, hubs, LAN switches, WAN

switches, NICs, modems, FRADs, DSU/CSUs, remote access concentrators, remote access servers, and legacy connectivity equipment.

This report is available for purchase by contacting Cheryl Toffel at 508-935-4389 or by e-mail at ctoffel@idcresearch.com. For additional information on IDC's Network Support and Integration Services research program, please contact Kara Murphy, Group Marketing Manager, at 508-935-4136.

About IDC

Headquartered in Framingham, Mass., International Data Corporation provides IT market research and consulting to more than 3,900 high-technology customers around the world. With a global network of 375 analysts in more than 40 countries, IDC is the industry's most comprehensive resource on worldwide IT markets, products, vendors, and geographies.

IDC/LINK, an IDC subsidiary, researches and analyzes the home computing market, leading-edge technologies in telecommunications and new media, and the convergence of computing and consumer electronics.

IDC's World Wide Web site (http://www.idc.com) contains additional company information and recent news releases and offers full-text searching of recent research.

IDC is a division of International Data Group, the world's leading IT media, research and exposition company.

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