Gigabit Driving CPE Spending

April 16, 2015
According to Infonetics Research, growth in spending on FTTH and DOCSIS 3.0 customer premises equipment (CPE) drove the global ...
According to Infonetics Research, growth in spending on FTTH and DOCSIS 3.0 customer premises equipment (CPE) drove the global broadband CPE market to $10.5 billion in 2014, a 9% increase from the prior year.

"Service providers are making significant investments in new technologies that provide a marketing advantage in terms of speeds offered over competitors. The net result is continued growth in DOCSIS 3.0 and upcoming 3.1 devices for cable operators, and FTTH, VDSL and upcoming CPE for telcos," wrote Jeff Heynen, Infonetics research director for broadband access and pay TV.

Other findings indicate:

  • Worldwide broadband CPE revenue was $2.7 billion in 4Q14, flat from 3Q14.
  • In 2014, FTTH CPE revenue was up 18%, and DOCSIS 3.0 CPE revenue was up 3%.
  • Regional pockets of growth in 2014 included GPON and DOCSIS 3.0 in North America; GPON in China, Europe, and Latin America; and VDSL in Europe.
  • By 2019, DSL is expected to make up a smaller share of broadband CPE revenue as telcos add more FTTH services. Many operators are expected to forgo FTTH altogether and instead use LTE spectrum to deliver fixed LTE services.
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