Report: Video to Spur Strong Internet Growth

According to a report by Cisco Systems Inc., IP traffic will nearly double every two years through 2011, driven by high-definition video and high-speed broadband services.

The report also found that consumer IP traffic will surpass business IP traffic in 2008. Forty percent of that traffic will be on the Internet and the rest will be generated by commercial video services over IP. In 2005, consumer IP traffic included 80 percent Internet use.

Internet video streaming and downloads are beginning to take a larger share of bandwidth and will grow from 9 percent of all traffic in 2006 to 30 percent in 2011, according to the report. As early as 2009, Internet video-to-TV will exceed Internet video-to-PC.

Business Internet traffic will grow at an annual rate of 23 percent from 2006 to 2011, driven by increased broadband penetration in the small business segment, the report said. Business IP WAN traffic will grow at a slightly slower 21 percent during the same period.

The report also said traffic from 3.5G and WiMAX will make up more than half of all mobile data traffic by 2011.

Cisco Systems Inc. www.cisco.com

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