Zhone: We’re closing on GPON top slot

SEPTEMBER 28, 2010 -- Zhone Technologies, Inc. has released data that suggests a successful second quarter of 2010 has it closing on the top spot in the worldwide GPON market. The gains came as a result of North American operators breaking ground on stimulus-funded broadband projects and fiber upgrades installed by service providers in regions such as the Nordics and the Caribbean and Latin America (CALA).

Sept. 28, 2010

2 min read

SEPTEMBER 28, 2010 -- Zhone Technologies, Inc. (NASDAQ: ZHNE) has released data that suggests a successful second quarter of 2010 has it closing on the top spot in the worldwide GPON market. The gains came as a result of North American operators breaking ground on stimulus-funded broadband projects and fiber upgrades installed by service providers in regions such as the Nordics and the Caribbean and Latin America (CALA).

Zhone says its GPON success has registered with several market research firms, all of whom listed the company among the top suppliers on various rankings:

#3 (tied) vendor worldwide for GPON revenue for rolling four quarters (3Q 2009 - 2Q 2010), according to BroadbandTrends
#1 vendor in the CALA region for GPON ports for 2Q 2010, according to Dittberner Associates
#2 vendor in the EMEA region for GPON ports for 2Q 2010, according to Infonetics Research
#4 vendor in the North America region for GPON ports for 2Q 2010, according to both BroadbandTrends and Dittberner

"Zhone has shown continued GPON growth in the past few quarters and has emerged as a leading global vendor for GPON for the past year according to our analysis," explained Teresa Mastrangelo, principal analyst at BroadbandTrends. "Zhone has built a highly reliable and cost-effective solution for the fiber access market and the MXK distinguishes itself in its industry-leading density and scalability."

Jeff Heynen, directing analyst for Broadband and Video at Infonetics Research, noted that "Zhone has quickly become a leading player for GPON in the EMEA region and has some leading Tier 1 service providers as its reference accounts. Having a proven and high-performance end-to-end fiber access solution that continues to exceed customer expectations has played a significant role in establishing Zhone as a GPON leader in the region and a player in almost every region of the world, including CALA and North America."

Infonetics estimates GPON to be a cumulative $12.7 billion global opportunity from 2009-2014 with a 28.6 percent CAGR, without even factoring the evolution to 10G GPON.

Zhone says it has shipped more than 600 MXK systems total to over 100 service providers globally with a potential capacity to support over 5.5 million FTTH subscribers.

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