Cisco Visual Networking Index Predicts IP Traffic to Triple From 2014 to 2019; Key Growth Drivers Include Increasing Mobile Access, Demand for Video Services

SAN JOSE, CA--(Marketwired - May 27, 2015) - According to the 10^th annual Cisco^® (NASDAQ: CSCO) Visual Networking Index™ (VNI) Forecast, annual Internet Protocol (IP) traffic will triple between 2014 and 2019, when it will reach a record 2 zettabytes. Factors expected to drive traffic growth include global increases in Internet users, personal devices and machine-to-machine (M2M) connections, faster broadband speeds, and the adoption of advanced video services. Collectively, these variables are expected to create a global IP traffic compound annual growth rate (CAGR) of 23 percent -- the first global CAGR increase in consecutive VNI forecasts in nearly a decade (e.g., last year's projected CAGR for 2013 - 2018 was 21 percent).

Key Global IP Traffic and Service Predictions
Cisco predicts that global IP traffic will reach 168 exabytes per month by 2019, up from 59.9 exabytes per month in 2014. In 2019, nearly as much traffic will traverse global IP networks than all prior "Internet years" combined (from 1984 to the end of 2013). Several elements will shape IP traffic in the coming years:

• More Internet Users - As fixed and mobile networks grow and expand, more people will have network and Internet access. In 2014, there were 2.8 billion Internet users, or 39 percent of the world's population of 7.2 billion. By 2019, there will be about 3.9 billion Internet users, or 51 percent of the world's projected population of 7.6 billion (Source: Population Division of the Dept. of Economic & Social Affairs of the United Nations).
  
  
• Proliferation of Devices and Connections - With 24 billion networked devices/connections expected online by 2019, compared with 14 billion in 2014, service provider networks must adapt to an influx of sophisticated devices. These devices include tablets, smartphones, and Internet-enabled ultra-high definition (UHD) TVs, as well as M2M connections and wearables (including new smart watches, health monitors, etc.). Globally, there will be 3.2 networked devices/connections per capita by 2019, up from 2 per capita in 2014. These advanced devices and connections will need to be authenticated to gain access to fixed and mobile networks, which require enhanced intelligence, network management and security. A comprehensive IPv6 strategy will be imperative for carriers to accommodate the volume and complexity of next-generation devices and connections. Globally, 41 percent of all fixed and mobile networked devices/connections will be IPv6-capable by 2019, up from 22 percent in 2014.