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Computer Networking Equipment Manufacturing Industry
Insights from D&B Hoovers

Industry Analysis

Description

Companies in this industry primarily manufacture equipment used to transmit data across communications networks. Major companies include Cisco Systems, Dell, Hewlett Packard Enterprise, and Juniper Networks (all based in the US), as well as Nokia (Finland) and Huawei (China).

Competitive Landscape

Demand is driven by economic growth as enterprises and service providers expand networks to meet increasing user needs, and by the superior performance of new equipment, which encourages replacement of existing equipment. Profitability of individual companies depends on timely development and delivery of products in high volumes for large customers. Large companies have advantages in economies of scale in broad product offerings and services. Small companies can successfully compete by designing and developing products that meet highly specialized needs. The US telecommunications equipment manufacturing industry is highly concentrated: the 50 largest companies generate about 90% of revenue.

Products, Operations & Technology

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