Emerging Hardware Vendors: Up and coming players in the hardware space in 2010

Report Description:

The global hardware market is expected to grow at a CAGR of approximately 4.4% over the period 2009-2014 to reach $307.7bn in the year 2014. Security hardware and appliances is the expected to be the fastest growing segment of the market, estimated to grow at a CAGR of 7.7% over the period 2009-2014. Western Europe is the largest hardware market in the world, followed by North America. Latin America is expected to be the fastest growing market, estimated to grow at a CAGR of 6.1%.

Green IT and virtualization are the two key trends in the global hardware market. Concerns such as global warming, greenhouse effect, power and cooling costs and space constraints are driving these two trends.

The market is dominated by large global players such as IBM, Intel, Dell, Hewlett-Packard, Toshiba, NEC and Fujitsu. However, the market also comprises a large number of small vendors, including emerging hardware vendors, that primarily operate in smaller niche segments of the market. A majority of emerging vendors operate in the high growth areas of VoIP and mobile communication hardware and security hardware.

Key features of this report

• Market dynamics and trend analysis of the global hardware industry over the period 2008-2014.
• Historical analysis of the performance of emerging hardware vendors over 2004-08.
• Company analysis of the emerging ten players in the hardware market: CarrierNet, XIRING, Alliance Fiber Optic Products, Immersion, Anoto Group, Sielox, Cardlink Technology, ViewCast.com, xG Technology and SCOTTY Group.

Scope of this report

1. Understand the strategies and best practices of the emerging hardware vendors.
2. Understand the major issues affecting key emerging players.
3. Study the performance of the emerging players during the global economic downturn.
4. Save time, money and resources on researching the performance and best practice strategies of the emerging players in the global hardware market using this report.

Key Market Issues

1. Focus on green IT and virtualization: Concerns such as global warming, green house effect, power and cooling costs and space constraints are driving the adoption of green technology and virtualization.
2. Focus on product innovation: Product innovation is one of the key focus areas of the emerging hardware vendors. A majority of vendors spend large amounts of their revenues on research and development.
3. Intense competition: Some of the key areas, such as the security hardware market and the telecom hardware market, where the emerging vendors operate are marked by intense competition. Intense competition is leading to price cuts and margin pressures.
4. Growth in security hardware market: The security hardware market is expected to be the fastest growing segment of the global hardware market, estimated to grow at a CAGR of 7.7% over the period 2009-2014.

Key findings from this report

1. The global hardware market is expected to grow at a CAGR of 4.4% over the period 2009-2014 to reach $307.0bn at the end of 2014.
2. Security hardware and appliances is expected to be the fastest growing segment of the hardware market, estimated to grow at a CAGR of 7.7% over the period 2009-2014 to $15.5bn.
3. Western Europe is the largest hardware market in the world, followed by North America. Latin America is expected to be the fastest growing market, estimated to grow at a CAGR of 6.1%, followed by Eastern Europe, expected to grow at a CAGR of 5.0% over the period 2009-2014.

Key questions answered

1. What is the size of the global hardware market?
2. What is the market break-up of the global hardware market by segments and by geographies?
3. What are the key trends in the global hardware industry?
4. Who are the emerging players in the market?
5. Why are emerging hardware vendors growing?

Table of Contents

• Emerging Hardware Vendors
• Executive Summary 12
• Market Development 12
• CarrierNet 12
• XIRING 13
• Alliance 14
• Immersion 14
• Anoto 15
• Sielox 16
• Cardlink 16
• ViewCast 17
• xG Technology 17
• SCOTTY 18

Chapter 1 Introduction 20

• What is this report about? 20
• Methodology and definitions 20

Chapter 2 Market Development 24

• Summary 24
• Overview 25
• Market size and growth 25
• Market by segments 26
• Client Computing and Peripherals 26
• Sever Computing Infrastructure 26
• Storage Infrastructure 26
• LAN and WAN Hardware 27
• Security Hardware and Appliances 27
• Enterprise Telephony Equipment 27
• Market by geographies 28
• Key Market trends 30
• Move towards green IT 30
• Virtualization 30
• Emerging hardware vendors 31

Chapter 3 CarrierNet 34

• Summary 34
• Company overview 35
• Products 35
• Recent financial performance 36
• Performance by business segments 37
• Performance by geographies 37
• Growth Strategies 38
• Focus on telecommunications operations 38
• Inorganic growth led by key strategic acquisitions 38
• Organic growth through geographic expansion and product introductions 38
• SWOT Analysis 40

Chapter 4 XIRING 42

• Summary 42
• Company overview 43
• Products 43
• Recent financial performance 44
• Performance by market segments 45
• Performance by geographies 46
• Growth Strategies 46
• Plans to divest banking business 46
• Strong emphasis on R&D and product innovation 46
• Increase international sales 47
• SWOT Analysis 48

Chapter 5 Alliance 50

• Summary 50
• Company Overview 51
• Products 51
• Recent financial performance 52
• Performance by product lines 53
• Performance by geographies 54
• Growth Strategy 55
• SWOT Analysis 56

Chapter 6 Immersion 58

• Summary 58
• Company Overview 59
• Products 59
• Recent financial performance 60
• Performance by business segments 61
• Performance by geographies 61
• Growth Strategies 62
• Business restructuring 62
• Focus on organic growth measures 62
• Product innovation 62
• Expanding geographic presence 62
• Entering new application markets 63
• SWOT Analysis 64

Chapter 7 Anoto 66

• Summary 66
• Company overview 67
• Products 67
• Recent financial performance 68
• Performance by business segments 69
• Performance by geographies 70
• Growth Strategies 71
• Move towards customer-centric business model 71
• Focus on product innovation and strengthening of product portfolio 71
• Strategic partnerships 72
• Divestment of non-core activities 72
• SWOT Analysis 73

Chapter 8 Sielox 76

• Summary 76
• Company overview 77
• Products 78
• Recent financial performance 78
• Performance by product lines 79
• Performance by geographies 80
• Growth Strategies 81
• Strategic acquisitions and divestments 81
• Focus on product innovation 81
• Strategic partnerships 81
• SWOT Analysis 82

Chapter 9 Cardlink 84

• Summary 84
• Company overview 85
• Products 85
• Recent financial performance 86
• Performance by business segments 87
• Performance by geographies 88
• Growth Strategies 88
• SWOT Analysis 90

Chapter 10 ViewCast 92

• Summary 92
• Company overview 93
• Products 93
• Recent financial performance 94
• Performance by product lines 95
• Performance by geographies 95
• Growth Strategies 96
• Strategic acquisitions 96
• Two-pronged sales organization 96
• Focus on R&D and product enhancements 96
• SWOT Analysis 97

Chapter 11 xG Technology 100

• Summary 100
• Company overview 101
• Products 101
• Recent financial performance 102
• Growth Strategies 102
• Outsourced business model 102
• Targeting regional carriers 102
• Using infrastructure partners to boost sales 102
• Shift to chip sales in the long-term 103
• SWOT Analysis 104

Chapter 12 SCOTTY 106

• Summary 106
• Company Overview 107
• Products 107
• Recent financial performance 108
• Performance by geographies 109
• Growth Strategies 110
• Strategic partnerships 110
• Streamlining operations and cost reduction 111
• Regular product enhancements 111
• SWOT Analysis 112

Chapter 13 Other emerging players 114

• Ambient Corporation (Ambient) 114
• Company overview 114
• Recent financial performance 114
• Advanced Card Systems (ACS) 116
• Company Description 116
• Recent Financial Performance 116
• Sangoma Technologies (Sangoma) 119
• Company Description 119
• Recent Financial Performance 120
• e.Digital Corporation (e.Digital) 122
• Company Description 122
• Recent Financial Performance 122
• GigOptix 124
• Company Description 124
• Recent Financial Performance 125
• iSECUREtrac 126
• Company Description 126
• Recent Financial Performance 127
• Icron Technologies (Icron) 128
• Company Description 128
• Recent Financial Performance 128
• ICOP Digital (ICOP) 130
• Company Description 130
• Recent Financial Performance 130
• China VoIP & Digital Telecom (China VoIP) 132
• Company Description 132
• Recent Financial Performance 132
• Gigamon 134
• Company Description 134
• KACE 135
• Company Description 135
• Smartfish Technologies (Smartfish) 137
• Company Description 137
• Index 139

List of Figures

• Figure 2.1: Global hardware market size and growth ($bn), 2008–2014 25
• Figure 2.2: Global hardware market size break-up ($bn), 2008–2014 28
• Figure 2.3: Global hardware market by geographies ($bn), 2008–2014 29
• Figure 3.4: CarrierNet’s financial performance ($m), 2004-2008 36
• Figure 3.5: CarrierNet’s SWOT analysis 40
• Figure 4.6: XIRING’s financial performance ($m), 2004-2008 44
• Figure 4.7: XIRING’s SWOT analysis 48
• Figure 5.8: Alliance’s financial performance ($m), 2004-2008 53
• Figure 5.9: Alliance Fiber Optic Products’ SWOT analysis 56
• Figure 6.10: Immersion’s financial performance ($m), 2004-2008 60
• Figure 6.11: Immersion’s SWOT analysis 64
• Figure 7.12: Anoto’s financial performance ($m), 2004-2008 69
• Figure 7.13: Anoto’s SWOT analysis 73
• Figure 8.14: Sielox’s financial performance ($m), 2006-2008 79
• Figure 8.15: Sielox’s SWOT analysis 82
• Figure 9.16: Cardlink’s financial performance ($m), 2004-2008 87
• Figure 9.17: Cardlink’s SWOT analysis 90
• Figure 10.18: ViewCast’s financial performance ($m), 2004-2008 94
• Figure 10.19: ViewCast’s SWOT analysis 97
• Figure 11.20: xG Technology’s SWOT analysis 104
• Figure 12.21: SCOTTY’s financial performance ($m), 2006-2008 109
• Figure 12.22: SCOTTY’s SWOT analysis 112
• Figure 13.23: Ambient’s financial performance ($m), 2005-2008 115
• Figure 13.24: ACS’s financial performance ($m), 2004-2008 117
• Figure 13.25: Sangoma’s financial performance ($m), 2004-2008 120
• Figure 13.26: e.Digital’s financial performance ($m), 2004-2008 123
• Figure 13.27: iSECUREtrac’s financial performance ($m), 2004-2008 127
• Figure 13.28: Icron’s financial performance ($m), 2004-2008 129
• Figure 13.29: ICOP’s financial performance ($m), 2004-2008 131
• Figure 13.30: China VoIP’s financial performance ($m), 2006-2008 133

List of Tables

• Table 2.1: Global hardware market size and growth ($bn), 2009–2014 25
• Table 2.2: Global hardware market size break-up ($bn), 2009–2014 28
• Table 2.3: Global hardware market size by geographies ($bn), 2009–2014 29
• Table 2.4: Emerging hardware vendors, 2009 32
• Table 3.5: CarrierNet’s snapshot 34
• Table 3.6: CarrierNet’s financial performance ($m), 2004-2008 37
• Table 3.7: CarrierNet’s business segment performance ($m), 2008 37
• Table 3.8: CarrierNet’s geographic performance ($m), 2008 38
• Table 4.9: XIRING’s snapshot 42
• Table 4.10: XIRING’s financial performance ($m), 2004-2008 45
• Table 4.11: XIRING’s market segment performance ($m), 2008 45
• Table 4.12: XIRING’s geographic performance ($m), 2008 46
• Table 5.13: Alliance’s snapshot 50
• Table 5.14: Alliance’s financial performance ($m), 2004-2008 53
• Table 5.15: Alliance’s product segment performance ($m), 2008 54
• Table 5.16: Alliance’s geographic performance ($m), 2008 54
• Table 6.17: Immersion’s snapshot 58
• Table 6.18: Immersion’s financial performance ($m), 2004-2008 61
• Table 6.19: Immersion’s business segment performance ($m), 2008 61
• Table 7.20: Anoto’s snapshot 66
• Table 7.21: Anoto’s financial performance ($m), 2004-2008 69
• Table 7.22: Anoto’s business segment performance ($m), 2008 70
• Table 7.23: Anoto’s geographic performance ($m), 2008 70
• Table 8.24: Sielox’s snapshot 76
• Table 8.25: Sielox’s financial performance ($m), 2006-2008 79
• Table 8.26: Sielox’s product line performance ($m), 2008 80
• Table 8.27: Sielox’s geographic performance ($m), 2008 80
• Table 9.28: Cardlink’s snapshot 84
• Table 9.29: Cardlink’s financial performance ($m), 2004-2008 87
• Table 9.30: Cardlink’s business segment performance ($m), 2008 88
• Table 9.31: Cardlink’s geographic performance ($m), 2008 88
• Table 10.32: ViewCast’s snapshot 92
• Table 10.33: ViewCast’s financial performance ($m), 2004-2008 95
• Table 10.34: ViewCast’s product line performance ($m), 2008 95
• Table 11.35: xG Technology’s snapshot 100
• Table 12.36: SCOTTY’s snapshot 106
• Table 12.37: SCOTTY’s financial performance ($m), 2006-2008* 109
• Table 12.38: SCOTTY’s geographic performance ($m), 2008 110
• Table 13.39: Ambient’s snapshot 114