According to a new report from Dell’Oro Group, the worldwide ethernet adapter market grew 40 per cent in 2022. This year, however, the research firm expects the market to moderate as server vendors lower their inventory levels in anticipation of lower enterprise demand, and the major cloud service providers undergo a capex digestion cycle.
“The ethernet adapter market achieved record revenue growth in 2022, primarily from the shift of product mix to higher speed ports and higher prices,” said Baron Fung, research director at Dell’Oro. “However, the market is changing rapidly, as the market shifted from a supply-constrained environment to one that is oversupplied with vendors reducing inventory levels.”
