Report: Compound semiconductors to drive 10G, 40G growth
JULY 16, 2008 -- Strategy Analytics' latest study, "Fiber-optic Analog IC Market Forecast: 2007-2012," predicts that Gallium Arsenide (GaAs) and Indium Phosphide (InP) technologies will be the drivers for 10G and 40G growth.
Collectively, the 10G and 40G capacity market segments will grow at a compound annual average growth rate (CAAGR) of 28%, with demand for GaAs and InP transimpedance amplifiers (TIAs), post amplifiers, and optical laser drivers representing over 25% of the total fiber-optic analog IC market in 2012.
The total market for fiber-optic analog ICs will grow at a respectable CAAGR of 9% through 2012, note analysts. Driven by increasing broadband connectivity and bandwidth requirements across both fixed and mobile platforms, 10G and 40G network infrastructure rollout will be the fastest growing end markets for fiber-optic analog ICs, with compound semiconductors serving as the primary enabling technologies.
"The overall market for TIAs, post amplifiers, and laser drivers will be worth almost $500 million by 2012," predicts Asif Anwar, author of the report and director of the GaAs and Compound Semiconductors Technologies Program within the Strategic Technologies Practice at Strategy Analytics. "While the overall market will be dominated by CMOS and SiGe technologies, GaAs and InP technologies will be the drivers for 10G and 40G growth, especially for the optical laser driver function."
"Content delivery to the home over fiber and 3G and 4G wireless platforms will drive bandwidth requirements upwards," adds Stephen Entwistle, vice president of the Strategic Technologies Practice. "10G and 40G rollout will be key in supporting the rollout of future wireless and fixed broadband platforms. The market is already looking to 100G in the future," he reports.