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LAN Switches Market Ebbs

The global market for local-area network switches dipped by 2 percent in the second quarter, but sales for the year were still expected to be higher than last year, a market research firm said Friday.

Revenue from LAN switches reached $3.7 billion in the second quarter, compared with $3.8 billion the previous quarter. Sales, however, were up 23 percent from $3 billion in the same period a year ago.

Cisco Systems continued to be the clear leader with 69 percent of the market. Other vendors battled for second place, a spot no one vendor has been able to maintain over the last two years with more than a 6 percent market share.

In the second quarter, Hewlett-Packard was No. 2 with 5 percent of the market, followed by Nortel Networks and 3Com, 4 percent each; and Extreme, 2 percent.

Despite the quarter-to-quarter dip, IDC maintained its forecast of a 3 percent increase in the LAN switches market from last year.

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