Pushed By GenAI And Front End Upgrades, Ethernet Switching Hits New Highs
The Next Platform, Thursday, January 8th, 2026
But virtue of its scale out capability, which is key for driving the size of absolutely enormous AI clusters, and to its universality, Ethernet switch sales are booming, and if the recent history is any guide, we can expect Ethernet revenues will climb exponentially higher in the coming quarters as well.
So long as the GenAI expansion in IT spending does not deflate. . . .
In the third quarter, which is the most recent one which IDC has data available for Ethernet switching and routing revenues, sales of switches based on the same Ethernet protocol that powers the backbone of the Internet as well as our campus networks and our edges rose by 35.2 percent year on year to kiss $14.7 billion. This is a record level of Ethernet switch sales, and even bested the second quarter of last year by 1.1 percent.