The worldwide optical transport market, including metro DWDM, long-haul terrestrial DWDM, and SONET/SDH multiplexers, will jump from its $23.5-billion mark in 2000 to $57.3 billion in 2005, according to a new report from market-research firm Dell'Oro Group (Redwood City, CA). The DWDM market will increase from $7.4 billion to $36.5 billion in 2005. The SONET/SDH multiplexer market will see significantly less growth throughout the forecast period, increasing from $16.1 billion to $20.8 billion.
"Internet traffic will continue to grow rapidly and service providers will need to expand the capacities of the optical transport networks to meet bandwidth requirements," says Shin Umeda, principle analyst at Dell'Oro Group.
The SONET/SDH market is expected to peak in 2003 and then experience a gradual decline as service providers begin spending less on legacy SONET/SDH multiplexer equipment.
According to the market report, service providers will look to new technologies to improve the efficiency of their networks, specifically in the areas of data traffic transportation and management and provisioning of optical circuits.
The report is published as part of Dell'Oro Group's "WAN Five-Year Forecast," which tracks multiservice WAN core and edge switches, WAN core and edge routers, and WAN routers used in broadband aggregation; long-haul DWDM; metro DWDM; and SONET/ SDH multiplexers. For more information, call Dell'Oro at 650-622-9400 or visit www.delloro.com