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Optical Transport Equipment 5-Year Forecast Points to Market Recovery According to Dell'Oro Group

Posted on: Tuesday, 10 February 2004, 06:00 CST

Dell'Oro Group Julie Learmond-Criqui, 650-622-9400 ext. 223 julie@delloro.com

According to Dell'Oro Group's recently published 5-Year Forecast Report of the Optical Transport equipment market, a stable market environment is forecast for optical equipment in 2004 (0-1% Y/Y growth), with a return to sales growth anticipated in 2005. Dell'Oro Group forecasts Optical Transport equipment sales to be $7.3 B in 2008.

"The market for optical transport equipment has improved and is set to exit the downturn in 2004. Metro applications of optical equipment will lead this recovery as Service Providers focus on winning and retaining customers through differentiated service offerings," said Jimmy Yu, an analyst at Dell'Oro Group. "We believe new service offerings will require additional investment in transport equipment such as DWDM Metro and SONET/SDH Multiservice for new ring and aggregation points. In 2004, we estimate that approximately 65% of optical transport equipment sales will be deployed in a metro application, versus 30% three years ago at the peak of the optical market."

About the Report

The Optical Transport 5-Year Forecast Report was published on January 27, 2004. The Report offers a complete overview of the industry with tables covering revenue, unit, and price forecasts by technology segment: DWDM Long Haul, DWDM Metro, SONET/SDH ADM, SONET/ SDH Multiservice, and Optical Switches. To purchase this report, please contact Julie Learmond-Criqui at 650-622-9400 ext. 223 or via e-mail to julie@delloro.com.

About Dell'Oro Group

Dell'Oro Group is a market research firm that specializes in strategic competitive analysis in the networking and telecommunications industries. The firm provides market research to the industry on a quarterly basis to meet the fast pace of technology. Quarterly Reports and 5-Year Forecasts offer detailed quantitative information on revenues, port and/or unit shipments, and average selling prices (www.delloro.com).

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