GPON equipment market to slowdown in India and Middle East

GPON equipment sales are expected to decline in India and the Middle East by 2015. The slow growth is because major operators including BSNL in India and Etisalat in the United Arab Emirates already took huge OLT and ONT shipments in 2009 and 2010 for large-scale GPON FTTH rollouts, according to Infonetics Research.


Both operators expect to achieve their homes passed goals this year. Future rollouts will be far more limited in these regions as the focus shifts to subscriber acquisition.


Though GPON infrastructure investments currently far outpace GPON subscriber growth, subscribers to premium broadband services via 2.5G GPON technology are expected to rise at a rapid clip, totaling 8.5 million by 2015 in India, the Middle East, Western Europe and Central and Eastern Europe.


Revenue from 2.5G GPON equipment will grow at a 16 percent compound annual growth rate (CAGR) from 2010 to 2015 in Western Europe, and at a 13 percent CAGR in Central and Eastern Europe.

Sales of 2.5 GPON equipment will pick up in Western Europe where major incumbents, led by France Telecom and Deutsche Telekom, are pursuing targeted GPON FTTH rollouts, as well as in Central and Eastern Europe, where major operators in Russia (Beeline, Northwest Telecom, Sibirtelecom, Comstar, and NGTS), are beginning the transition from FTTB to GPON-based FTTH technologies this year,” said Jeff Heynen, directing analyst for broadband access at Infonetics Research.


10G GPON and asymmetrical 10G GPON (XG-PON1) will see only minimal trial deployment in late 2011 and early 2012 in Western Europe, and even later in the other regions.


While each of the key regions tracked in the report has its own 2.5 GPON revenue market share leader, only Huawei and Alcatel-Lucent have a strong showing across multiple regions.


By Team
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