MAY 27, 2008 -- PON Optical Line Terminal (OLTs) revenue increased over 50% in the first quarter of this year, driven by a surge in EPON and GPON deployments, reveals a newly published report by Dell'Oro Group (search for Dell'Oro Group). This increase occurred at the same time that Cable Modem Termination Systems (CMTS) revenue increased by 30%, say Dell'Oro analysts.
"Demand for PON and Cable access equipment was strong in the first quarter, a trend we expect to continue throughout 2008," notes Tam Dell'Oro, president of Dell'Oro Group. "PON is being driven by new GPON deployments, especially by Verizon, as well as the resumption of EPON deployments in Japan after a pause in 2007 when operators planned for next-generation networks. Cable operators are resuming purchases after a slow 2007 when most operators were planning for new DOCSIS 3.0 CMTS equipment, which is now available from most Cable access vendors," Dell'Oro adds.
The report also shows that the resumption of EPON deployments in Japan helped Mitsubishi and Sumitomo overtake Tellabs for the top two spots in the PON OLT market. Cisco's sequential revenue growth almost doubled in the first quarter and helped extend its dominance in the CMTS market.
The Dell'Oro Group Quarterly Access Report provides manufacturers' revenue, average selling prices, and port/unit shipments for Cable, DSL, and PON equipment. Network infrastructure equipment includes Cable Modem Termination Systems (CMTS); DSLAMs by technology, including ADSL, G.SHDSL, mand VDSL; and PON OLTs by technology, including BPON, EPON, and GPON. The report also covers Cable and DSL Customer Premises Equipment (CPE) technology and PON Optical Networking Terminals (ONTs).