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Network-Based IP VPN Equipment Enabling Key Services for Service Providers


SCOTTSDALE, Ariz., January 5, 2006 - Network-based IP VPN (Virtual Private Network) services are one of the important growth areas in business networking services, and will spur network-based IP VPN equipment worldwide sales revenues to grow strongly from $347 million in 2004 to $658 million in 2009, reports In-Stat (, a high tech market research firm.

Network-based IP VPN services (MPLS IP VPN, Virtual Router, and Network-Based IPSec services) move VPN intelligence to the edge of the network, as opposed to initiating tunneling at the CPE, as with CPE-based VPN services. “The number of end-users that are converging voice and video onto their IP VPN services continues to grow, and this convergence creates a greater demand for the use of different classes-of-service,” says Henry Goldberg, In-Stat analyst.

A recent report by In-Stat found the following:

* Service providers are selling DSL access lines to small/mid-sized businesses and branch offices as a lower-cost alternative to traditional leased lines.
* End-users that are using DSL access lines to connect to network-based IP VPN services require broadband subscriber management services, and some vendors offer such services on the same platform as their VPN services.
* Support for value-added security services, such as firewalls and intrusion prevention, enable service providers to generate substantial additional revenues beyond those for IP VPN connectivity services.

The report, The Equipment Options for Implementing Network-Based IP VPN Services (#IN0501948WN), provides a unique examination of the three categories of equipment that enable service providers to offer network-based IP VPN services: edge routers, multiservice switches, and other equipment. The key new trends shaping this market are identified. Detailed profiles are given of leading vendors from each equipment category. The report includes market share estimates for each category of network-based IP VPN equipment sales revenues in 2004. A five-year forecast of network-based VPN equipment sales revenues is also provided.

To purchase this report, or for more information, please contact Tina Sheltra at 480-609-4531; The report price is $2,995 U.S. Dollars.


* Report Title: The Equipment Options for Implementing Network-Based IP VPN Services
* Service: Service Provider Networks
* Report Number: IN0501948WN
* Publication Date: December 2005
* Number of Pages: 49
* Report Price: $2,995 U.S. Dollars
* Abstract, Table of Contents, Figures & Tables
* Members Only Access: Full text HTML , PDF

Market Research from In-Stat

In-Stat offers a broad range of information resources and analytical assets to technology vendors, service providers, technology professionals, and market specialists worldwide. The company stands alone in its ability to integrate both supply-side and demand-side research methodologies into a single comprehensive view of technology markets and products. This capability relies on a unique ability to cover the entire value chain from engineering-level technology, through equipment, infrastructure, services and end-users.

In-Stat is a strategic segment of the $8 billion Reed Elsevier global information network, with access to an expansive worldwide electronic network, extensive technology databases and well-informed personnel. In-Stat analysts gain exceptional insight into geographic market places and specific technologies within markets such as electronics, cable and wireless. As a member of Reed Business Information, In-Stat is a division of the largest business-to-business publisher in the U.S.


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