Study Shows 40% WLAN Sales Increase In 2003

Worldwide sales of WLAN equipment increased 40 percent in 2003, according to a new study by Synergy Research Group.

The sales upsurge was spurred by sales of WLAN equipment to home and small office users, which increased by 66 percent compared to 2002, the study said. By contrast, sales of enterprise-class WLAN equipment increased only nine percent in 2003, the study reported.

Overall, the study indicated that the home and small office market was responsible for about 65 percent of all WLAN equipment sales in 2003.

"In 2003, the overall WLAN market was characterized by an increase in enterprise adoption and unabated growth in the consumer segment," Aaron Vance, a Synergy Research senior analyst said in a statement. "From both perspectives, growth was driven by the maturation of Wi-Fi in terms of performance and security, the need for mobile connectivity, the proliferation of embedded mobile devices, falling prices, and a general economic recovery."

In the enterprise space, Cisco retained its market share lead with sales growth of 35.6 percent compared to the year before. However, 3Com, which was the fourth-ranking enterprise vendor, logged a 47.2 percent increase in sales. Number two Symbol Technologies saw its sales increase by about 25 percent while number three Proxim saw sales slip by more than six percent.On the consumer side, Linksys, which is owned by Cisco, retained its number one market share with sales growth of 82.5 percent for the year. D-Link was second and Netgear was third, with growth rates of 83 percent and 92.4 percent respectively. Fourth-place Buffalo saw its sales increase by a relatively paltry 32 percent, according to the study.