Optical equipment market 'will resume growth in 2005'

5 August 2002 -- Dell'Oro Group's Optical Transport 5-Year Forecast Report shows continued decline from its USD23bn peak in 2000 to USD8.1bn in 2004 (down 65%) before resuming modest growth in 2005.

Aug 5th, 2002

5 August 2002 -- Dell'Oro Group's Optical Transport 5-Year Forecast Report shows continued decline from its USD23bn peak in 2000 to USD8.1bn in 2004 (down 65%) before resuming modest growth in 2005.

"Service Provider Capex is forecast to remain under pressure until 2004," says analyst Jimmy Yu. "Optical equipment sales continue to be squeezed by the difficulties facing the telecom industry. But even within the declining optical market, we see some strong growth segments."

"We see the DWDM metro, SONET/SDH multi-service, and optical switch market segments resuming growth in 2003 and 2004 to meet either new service requirements or as technology replacements. It's not enough to grow the total market size, but it's enough to keep the market relatively flat over our forecast horizon."

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