Frame Relay’s Market Success - U.S.

(in $Ms)

$9.6B

$10.4B

$10.9B

$11.3B

$11.8B

PL Revs:

Source: Vertical Systems Group - 1997

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Slide 4. Market Success - U.S.

Frame relay has enjoyed and is expected to continue to enjoy tremendous success in the United States as shown in this graph. Frame relay is now reaping the benefits of its early success and proven performance with many users as they begin to migrate their private TDM-based networks, mission-critical applications, and multi-protocol applications onto frame relay. Additionally, growing end user networks, demand for higher speeds, rapidly changing end user needs, IT resource rightsizing, and controlled/limited budget have created even more opportunities for frame relay to proliferate.The one technology to rival frame relay’s extraordinary growth in the networking world is the commercial Internet (defined here as Internet utilized for business purposes; i.e. access, intranet, extranet, etc.). Research companies vary widely in their estimates today, but typically place1997 revenues for commercial Internet services between $1 and $2 billion with 1998 projections as high as $3 billion.