Optical transport system sales to hit $15 billion by 2018 says Dell'Oro

Jan. 21, 2014
Market research firm Dell’Oro Group predicts in a new report that sales of optical transport equipment will reach $15 billion by 2018, driven by demand for high-speed DWDM systems.

Market research firm Dell’Oro Group predicts in a new report that sales of optical transport equipment will reach $15 billion by 2018, driven by demand for high-speed DWDM systems.

DWDM equipment sales should grow at an average annual rate of 8% through the forecast period, with 100-Gbps accounting for 80% of the demand by 2018, according to the report.

“The most significant of a number of trends unfolding in the optical market is the rapid expansion of 100-Gbps DWDM wavelength shipments, as its use moves beyond the core network and into the metro network,” explained Jimmy Yu, vice president of optical transport market research at Dell’Oro. “This projected demand for 100 Gbps will subsequently be one of the key growth drivers for the optical market over the next five years.”

Optical Transport Network (OTN) and packet transport technology also should increase in popularity, which should benefit sales of packet-optical transport systems with OTN switching features. Dell’Oro expects optical packet platform revenue to grow at a 15% compounded annual growth rate during the forecast period.

Meanwhile, metro applications will overtake core network deployments as a driver for spending over the next five years as well, Dell’Oro believes.

The new Dell’Oro Group Optical Transport 5-Year Forecast Report offers an overview of the optical transport industry with tables covering manufacturers’ revenue, average selling prices, unit shipments, and tributary/line or wavelength shipments by speed up to 100 Gbps. The report tracks DWDM long-haul terrestrial, WDM metro, multiservice multiplexers, and optical switch equipment.

For more information on high-speed transmission systems and suppliers, visit the Lightwave Buyer’s Guide.


Sponsored Recommendations

Unveiling the Synergy Between AI and Optical Networking

March 12, 2025
Join us for an engaging discussion with industry experts on the intersection of AI and optics. Moderated by Sean Buckley, editor-in-chief of Lightwave+BTR, this panel will explore...

Transforming the metro network and the evolution of the "Digital Service Provider"

March 4, 2025
Join experts at EXFO and Ekinops in this webinar that will review the evolving metro-centric requirements and the technologies emerging to meet them.

On Topic: Metro Network Evolution

Dec. 6, 2024
The metro network continues to evolve. As service providers have built out fiber in metro areas, they have offered Ethernet-based data services to businesses and other providers...

On Topic: Tech Forecast for 2025/ What Will Be Hot

Dec. 9, 2024
As we wind down 2024, Lightwave’s latest on-topic eBook will examine the hot topics for 2025. AI is at the top of the minds of optical industry players supporting...