North America, 100G push optical equipment market up 27% QoQ

Time:2024-04-17 14:16

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Market research firm Infonetics Research released vendor market share and preliminary analysis from its 2nd quarter 2013 (2Q13) Optical Network Hardware report. (Full report will be published August 23.)

ANALYST NOTE

“We expected the optical hardware market to turn, particularly in North America, and that’s exactly what happened in the 2nd quarter. Total optical spending is up 27% quarter-over-quarter, and the WDM equipment segment is up 21% year-over-year,” notes Andrew Schmitt, principal analyst for optical at Infonetics Research.

“WDM spending accelerated dramatically in North America as a result of 100G deployments hitting the ground, and worldwide spending on 100G speeds is tracking close to 15% of all optical spending,” Schmitt adds. “China’s 100G deployments will begin in earnest as the year closes, led by China Mobile, and we’re anticipating more than 5,000 ports of 100G in China alone in 2013.”

2Q13 OPTICAL MARKET HIGHLIGHTS

Globally, the optical network hardware market, including WDM and SONET/SDH equipment, totaled $3.3 billion in 2Q13

EMEA (Europe, Middle East, Africa) is operating at record low levels of optical capital intensity; positive capex rumbles from tier 1 carriers have yet to translate into more optical spending

The top 3 optical market share leaders in 2Q13 are, in rank order, Huawei, Alcatel-Lucent and ZTE

Alcatel-Lucent continues to decline on a year-over-year basis, though optical investment is set to increase in 2013 as part of its SHIFT Plan to double down on optical and routing

Ciena is well positioned to capture the torrent of 100G spending expected this year from AT&T and Verizon

Infinera is the fastest-growing supplier of optical WDM gear in Europe.

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