JULY 26, 2010 – According to a newly released optical forecast report from market research firm Dell’Oro Group, total worldwide DWDM optical transport equipment revenue is forecast to be $9.3 billion in 2014, of which just over $3 billion will come from 40/100-Gbps equipment.
“The demand for 40-Gbps DWDM was resilient in 2009 even as the market for optical equipment was under extreme pressure,” said Jimmy Yu, senior director of optical transport research at Dell’Oro Group. “Forty-gigabit/second DWDM revenues more than doubled in 2009 even though the overall DWDM market declined.
“Despite the availability of 100-Gbps DWDM, we think demand for 40-Gbps DWDM will continue to expand, and are forecasting a 55 percent CAGR over the next five years, in large part because of the price premium of 100 Gbps. This doesn’t mean that there’s no demand for 100 Gbps. We think 100-Gbps DWDM shipments will also grow, but that the higher volumes probably won’t occur until late 2012 when we think the price of 100-Gbps wavelengths will be lower than that of 40-Gbps wavelengths,” added Yu.
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