By Telecom
Lead Team: The total worldwide optical transport equipment revenues are
expected to grow to nearly $19 billion by 2016.
The DWDM
Transport market is expected to grow at a 10 percent compounded annual growth
rate (CAGR) over the next 5 years, reaching $12 billion.
“The
demand for optical equipment and DWDM systems is due to what appears to be an
endless need for more backhaul capacity in both fixed and mobile broadband
networks,” said Jimmy Yu, vice president of Optical Transport Market
Research at Dell’Oro Group.
There are a
number of trends in the Optical market during the next five years, with the top
three being:
1) the shift
to packet-based equipment, where we expect optical packet equipment sales to
grow three-fold in the next five years.
2) the
growing use of OTN, MPLS, and MPLS-TP for both transport and switching, which
is related to the rise in optical packet equipment.
3) the
increasing demand for 40 Gbps and 100 Gbps DWDM, which will steadily rise over
the next few years to contribute about 60 percent of the DWDM sales by 2016.
Recently,
Dell’Oro Group announced the global optical transport DWDM equipment market
revenues grew 30 percent year-over-year to $1.9 billion in the second quarter
of 2011.
Huawei beats Ciena to lead optical transport DWDM market in Q2
Huawei
leads the equipment manufacturers with the highest revenue share of an 18 percent,
Ciena follows with 15 percent, Alcatel-Lucent and Fujitsu reached on 3rd
and 4th positions respectively.
Demand for DWDM hasn’t let up over the past four quarters
and 2Q 2011 was the fourth consecutive quarter that the market posted
double-digit year-over-year growth rates, driving it to a revenue level last
seen in 2001.
Demand for 40 gigabit DWDM has also continued to expand
with shipments doubling year-over-year.
The DWDM market grew across all the regions and that the
highest year-over-year growth rates, which exceeded 50 percent year-over-year,
were in EMEA and Latin America.
