Dell'Oro: VDSL and PON revenues to double over next five years

JANUARY 28, 2008 --- Dell'Oro says worldwide sales of Cable, DSL, and PON equipment will grow from $9.6 billion in 2007 to $9.7 billion in 2008 before gradually falling back to $8.9 billion in 2012.

JANUARY 28, 2008 -- Dell'Oro Group (search for Dell'Oro) today announced that it forecasts revenue from build-outs of high-speed VDSL and PON networks to almost double between 2007 to 2012. During the same timeframe, revenue from slower-speed ADSL equipment is expected to fall by more than 40%. The forecast includes revenues from sales of both access concentrators and customer premises equipment, says the market researcher.

"New revenue opportunities, primarily video services, is driving many telecom service providers in established regions to plan network upgrades to high-speed VDSL and PON technology," explains Tam Dell'Oro, founder of Dell'Oro Group.

"Manufacturers still have good opportunities to sell ADSL equipment, especially in emerging regions where subscriber growth is strongest. However," he says, "we expect that ADSL revenue will fall each year because demand from emerging regions will not be enough to offset lower demand in established regions where broadband saturation is resulting in declining subscriber additions."

Dell'Oro Group's findings from its five-year forecast of the Access market indicate that worldwide sales of Cable, DSL, and PON equipment will grow from $9.6 billion in 2007 to $9.7 billion in 2008 before gradually falling back to $8.9 billion in 2012.


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