Packet optical transport gear sales to reach $11B by 2017 says Dell'Oro

July 22, 2013
Sales of optical packet transport equipment will grow at a compounded annual growth rate (CAGR) of 19% to reach $11 billion by 2017, says market research firm Dell’Oro Group in its latest Optical Transport forecast.

Sales of optical packet transport equipment will grow at a compounded annual growth rate (CAGR) of 19% to reach $11 billion by 2017, says market research firm Dell’Oro Group in its latest Optical Transport forecast.

Dell’Oro divides the optical packet systems space into three segments. Optical Packet-Transport systems provide high-capacity bandwidth management and transport. Optical Packet-Switches support the provision of deterministic Ethernet services. Carriers use Optical Packet-Core Switches for network meshing and protection, Dell’Oro explains. Sales of such equipment rose 23% year-on-year during the first quarter of this year, Dell'Oro reported back in May (see "Packet-optical transport system sales urge in 1Q13 says Dell'Oro Group").

"We believe optical transport equipment deployments will be driven by two main factors," said Jimmy Yu, vice president of optical transport market research at Dell'Oro Group. "The first will be the need to increase network capacity as economically as possible, which will drive the need for 100-Gbps DWDM wavelengths. We forecast 100-Gbps DWDM wavelength shipments to grow at an 80% CAGR. The second factor will be the need to transport packets more efficiently as data and video traffic dominate the network, driving the move towards Optical Packet Platforms."

The new Dell'Oro Group Optical Transport 5-Year Forecast Report offers an overview of the optical transport industry with tables covering manufacturers' revenue, average selling prices, unit shipments, and tributary/line or wavelength shipments (by speed up to 100 Gbps). The report tracks DWDM long haul terrestrial, WDM metro, multiservice multiplexers, and optical switch equipment.

For more information on high-speed transmission systems and suppliers, visit the Lightwave Buyer’s Guide.

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