IDC Says CPCI CPU Boards Have Surpassed Critical Milestone

FRAMINGHAM, MA — NOVEMBER 1, 2000 — The CompactPCI (CPCI) CPU board market has reached a critical juncture. In 1999, worldwide revenues surpassed $200 million, according to IDC.

 

"This is more than a financial milestone for the CPCI CPU board architecture,"said Paul Zorfass, senior analyst. "By obtaining this level of revenues, CPCI and its suppliers have demonstrated they have found their footing in the highly competitive boards market and now have a sustainable value statement for building business."

Not only has this architecture found its footing, but IDC expects it to find its wings soon too. According to the market intelligence and advisory firm, revenues will soar well above $1 billion by 2003.

Nevertheless, IDC cautions that CPCI will be market focused, albeit a very large market. Most of the activity for the architecture will be driven by the telecommunications industry. Telecommunications currently accounts for approximately 80% of CPCI's revenues and units, and in 2003 its market share will still be dominant at 77%.

IDC believes CPCI shipments into the telecommunications sector will be both for new products and for equipment upgrades, reflecting the transition of the telecommunications industry itself.

"As extensions are added, CPCI will provide enormous incentive for the large telecommunications equipment manufacturers to replace their propriety solutions with a more standardized industry solution," Zorfass said. "CPCI has the potential to introduce significant change to the telecom industry that will include the way in which these companies compete among themselves and with the datacom and optical suppliers entering this large industry sector."

Information like the above can be found in IDC's special report CompactPCI CPU Board Market Analysis. This is one of several reports produced by IDC and First Technology. The report forecasts CPCI revenues through 2003 by industry. It discusses the challenges and critical success factors facing the market. The report also discusses the market's evolution and CPCI CPU suppliers. To purchase this report, contact Cheryl Toffel at 1-800-343-4952 extension 4389 or at ctoffel@idc.com.

About IDC

IDC is the foremost global market intelligence and advisory firm helping clients gain insight into technology and ebusiness trends to develop sound business strategies. Using a combination of rigorous primary research, in-depth analysis, and client interaction, IDC forecasts worldwide markets and trends to deliver dependable service and client advice. More than 700 analysts in 43 countries provide global research with local content. IDC's customers comprise the world's leading IT suppliers, IT organizations, ebusiness companies, and the financial community. Additional information can be found at www.idc.com.

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

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