Telecoms consider fixed enterprise services for revenue growth: Aviat Networks

Mobile network operators (MNOs) are considering fixed enterprise services as a top priority for revenue growth.

This ranks very high with the main priority of growing the subscriber base, said a survey done by Heavy Reading for Aviat Networks.

IP/MPLS is central to this plan with 75 percent of MNOs rating IP/MPLS as critical or very important for delivering enterprise services.

In addition, 70 percent indicate it is critical or very important that MPLS Layer 3, or L3, services for businesses are delivered from cell sites directly.

75 percent of MNOs say it is critical or very important that existing site equipment is able to deliver fixed wireless services, said Aviat Networks.

“While L2 can be used to deliver business services, most mobile operators are very interested in the additional benefits of L3 including MPLS. They also tend to value very highly the ability to deliver those business services from existing equipment at their cell sites,” said Patrick Donegan, senior analyst, Heavy Reading.

Access revenue up 12%

Meanwhile, Dell’Oro Group said total second quarter Access revenue, including PON, DSL, and Cable, increased 12 percent — driven by 30 percent increase in VDSL port shipments and 40 percent increase for both GPON OLT port and ONT unit shipments.

The report shows that year-on-year growth was driven by higher shipments across all regions for both technologies.

EMEA and North America accounted for the vast majority of VDSL shipments with Western Europe being especially strong as an increasing number of operators deploy vectoring products, which can significantly increase bandwidth while using existing copper infrastructure.

Steve Nozik, principal analyst of Access research at Dell’Oro Group, said: “For GPON, China continues to dominate the market but there was also significant growth in other regions especially Southeast Asia, Southern Europe and the Middle East.”

In the second quarter, Alcatel-Lucent held the lead for VDSL port shipments, significantly ahead of the next two top vendors, Huawei Technologies and ADTRAN.

For GPON, Huawei and ZTE were the top two vendors due largely to their market leadership position in China, followed by Alcatel-Lucent in the number three position.

editor@telecomlead.com