Infonetics sees Alcatel driving 10% increase in optical hardware market

August 31, 2005 San Jose, CA --Worldwide optical network hardware revenue grew 10% to $2.7 billion between the first and second quarters of 2005, with the largest effect coming from market leader Alcatel, whose revenue jumped 41% in 2Q05, says a report from Infonetics Research.

August 31, 2005 San Jose, CA --Worldwide optical network hardware revenue grew 10% to $2.7 billion between the first and second quarters of 2005, with the largest effect coming from market leader Alcatel, whose revenue jumped 41% in 2Q05, says a report from Infonetics Research.

According to the report, total annual revenue will grow to $11.3 billion in 2008, driven by the onward push of bandwidth use by consumers and businesses worldwide.

"The overall optical network hardware market is growing at a healthy pace," comments Michael Howard, principal analyst and co-founder of Infonetics Research. "The long haul market hit its nadir in 2004, and is at last beginning to gather strength again, rising 13% in the second quarter. 2005 will be the first positive growth year for long haul since 2000. Growth in this sector will continue as business conditions continue to improve and carriers continue to reduce opex through investments in a new generation of optical products."

Other 2Q05 highlights, according to the report, include:

* Alcatel continues to lead the overall optical network hardware market, with 16% worldwide revenue, followed by Nortel with 12%, and Fujitsu and Huawei in a battle for third, tied this quarter each with 9%

* Fujitsu leads the worldwide SONET market, followed by Nortel and Lucent.

* Alcatel leads the worldwide SDH market, followed by Huawei and Nortel.

* Metro ROADM switches hit $56 million, down 36% quarter-to-quarter; Cisco overtook Fujitsu for the lead in this segment this quarter.

The quarterly report, "Optical Network Hardware," tracks SONET/SDH and CWDM/DWDM hardware. Forecasts and regional market share analysis covers all world regions (worldwide, North America, EMEA, Asia Pacific, CALA). Companies tracked in the report include ADTRAN, ADVA, Alcatel, Ciena, Cisco, Corrigent, Fujitsu, ECI Telecom, Huawei, Infinera, Lucent, Mahi, Marconi, Movaz, NEC, Nortel, Siemens, Tellabs, Transmode, Tropic, Turin, White Rock, Xtera, Zhone, ZTE, and others.

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