Cisco: Internet Traffic to Boom

If you’re a telecom equipment supplier banking on the Internet’s growth to drive sales, a new forecast from Cisco (CSCO) can only be good news.

Cisco suggests traffic on the world’s networks will jump 46% a year from 2007 to 2012. In 2012, Cisco claims Internet video traffic will be a staggering 400x carried on the U.S. Internet backbone in 2000. Video-on-demand, IP-TV, P2P and Internet video will account for 90% of all consumer IP traffic in 2012.

For more, check out GigaOm, which suggests Cisco’s forecasts look reasonable.

Here’s a cool chart looking at Internet traffic growth around the world.

Comments

[epicure:]

Internet will replace airwaves at an accelerated pace... think about it

2008 Jun 17 04:05 PM

[Phil Dewey:]

The problem with this forecast is the big ISPs are doing everything in their power to keep that explosion from happening. Data Shaping, throttling of P2P traffic, high usage tiered billing are all going to kill this. Cisco is wishful thinking since they would be the main beneficiary of this kind of growth.

2008 Jun 17 10:56 PM

[squawk:]

Big ISPs will respond to market demand by tailoring their pricing models so that they too are the beneficiary of this growth. They will not put a direct lid on the demand for video traffic, but rather institute new pricing plans that may curtail demand, albeit at the most extreme consumption levels.

2008 Jun 21 06:50 PM