New Technologies Will Reduce SCS Market $1.7 Billion Over The Next Five Years

By: FTM Consulting
July 10, 2012 - PRLog -- HUMMELSTOWN, PENNSYLVANIA, June 26, 2012—FTM Consulting announced the release of its latest study, “The Post-PC-Cloud Computing Era SCS Market Report.”
Frank Murawski, President of FTM Consulting, Inc., said, “We are entering a new technology era, which will cause major changes to the enterprises’ networks.” This change will impact the SCS (structured cabling systems) market in a negative way. We call this, “the Post-PC-Cloud Computing Era.” Post-PC implies that PCs are no longer the network’s primary access device. Rather smartphones and tablets are increasingly being used to access the enterprise’s network. A popular buzzword, BYOD (bring your own device), allows employees to bring their own mobile devices to access the enterprise’s network.
The other technology is cloud computing, whereby computing resources are provided, as a service, rather than a product, by third party service providers. Cloud computing provides a compelling business case for financial and deployment timing. Cloud computing is provided on a usage basis, such as a utility’s metered service. Therefore, the enterprise’s IT department does not have a large capital investment. In addition, cloud computing services can be provided in a matter of weeks, if not days, whereas the IT department would initiate a multi-month or even a multi-year project to provide new network services. Adding viability to cloud computing services is the offering by the technological giants, such as IBM, Intel, Microsoft, Amazon and Google.
Mobile devices have recently exploded, with 3.6 billion devices shipped by the end of 2010, including over 100 million Apple iPhones and over 20 million Apple iPads. Mobile device shipments are now exceeding PC shipments. As a result, this technology is already impacting the SCS market.
For the past three years, large enterprises have been investing more than $100 billion in cloud computing services. Most enterprises are currently evaluating the role of cloud computing in their future networks. Until now, most of this is being trialed to gain experience for future deployment. Cloud computing services are expected to start being widely deployed next year. As a result, this technology is expected to impact the SCS market starting next year.
These two technologies are changing the enterprises’ network architecture resulting in a major change for the structured cabling system required to support the new network architecture. Our analysis indicates that copper cabling and fiber cabling will be affected differently, with the net result being the reduction in the SCS market size and growth. By 2017, the two technologies will reduce the SCS market from $9,930.7 million to $9,150.1 million. Growth over the five-year period will decrease from 4.6% to 3.3%.
Details on this analysis, including product forecasts, can be found in our recently released study: “Post- PC – Cloud Computing Era SCS Market Analysis & Forecasts”.

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Tags:Structured Cabling System, Post-PC-Cloud Computing, Networks
Industry:Structured Cabling
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Page Updated Last on: Sep 17, 2013 PRs
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