Broadband aggregation equipment revenue up 19% in Q2 to $2.1 bn

The broadband aggregation equipment revenue — DSL, PON and Ethernet FTTH – rose 19 percent to $2.1 billion, said Infonetics Research.

The quarter-over-quarter growth was 17 percent.

Telecoms’ spending on all broadband product segments rose as Ethernet FTTH increased 45 percent, DSL aggregation grew 21 percent, and PON rose 15 percent quarter-over-quarter.

GPON equipment sales increased 19 percent sequentially and rose 44 percent from the same period a year ago, sparked by broadband investment in China.

VDSL ports grew to 6.6 million as vectoring endeavors in EMEA continued to expand and grow in significance.

Broadband spending is expected to increase later this year in North America when Connect America Fund (CAF) projects get underway.

Broadband aggregation equipment market size in Q2 2014

Gigabit’ has become the focus of many telecom operators in the North American market, resulting in an acceleration of FTTH network investments.

Meanwhile in Europe, vectoring VDSL2 deployments continue to ramp quickly.

Huawei broadband aggregation gear revenue rose substantially in Q2 2014 in Asia Pacific, driven largely by projects in Southeast Asia.

Jeff Heynen, principal analyst for broadband access and pay TV at Infonetics Research, said: “Driven by GPON and vectoring, the telecoms’ broadband aggregation market passed the $2 billion mark in the second quarter of 2014, growing by double digits both sequentially and from the year-ago quarter.”

Baburajan K
[email protected]