Networking equipment vendors are rushing to jump into competition for gateway gear used for next-generation wired-wireless convergence networks, as demand for gateway equipment continues increasing sharply in line with the switch from PSTN to All IP networks.
Leading the pack in the signaling gateway area are Genesystems, Newgrid Technology, Nortel and Cisco Systems. Samsung Electronics, Newgrid Technology, LG-Nortel, Alcatel, Lucent Technology, Huawei and Ericsson are in competition for trunk gateway gear.
“Gateway gear has become core systems used for broadband convergence networks, providing such major functions as messenger integration, processing of various codecs and media transformation and control,” said industry experts. “Domestic and multinational vendors are now on board to win media gateway deals.”
The Korea Electronics and Telecommunications Research Institute conducted a survey to demand and supply of gateway gear, and found that demand for gateway equipment in the home market increased by more than 1.5 times last year.
Domestically-produced and imported equipment stood at 174.9 billion won and 43.6 billion won, respectively, up almost two-folds compared to the previous year.
The institute forecast that the gateway market would continue growing 21.1% through 2009, reaching some 273 billion won. It also estimated that domestic production and imports would increase at a two-digit rate.
“Some 7 to 8 vendors are already in race to win KT’s trunk gateway project, with a benchmarking test set for April this year,” said an industry observer. “Competition is expected to expand from the home market into overseas markets including Japan and Europe.”