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Optical Transport Equipment Market Grows to $7.8 Billion By 2008

Posted on: Wednesday, 4 August 2004, 06:00 CDT

In a newly published report, Dell'Oro Group increased the forecast for the total optical transport equipment market by approximately 6 percent, predicting growth to $7.8 billion by 2008. Following three years of decline, Dell'Oro Group forecasts that metro applications of optical transport equipment will lead the optical market into a recovery. Sales into metro applications are expected to grow from $3.9 billion in 2003 to $4.9 billion in 2008.

"The majority of the growth in metro applications will occur in 2004 and 2005 as service providers focus on delivering new services, such as broadband and video to the residential market and Ethernet services to the enterprise market," commented Jimmy Yu, senior analyst of optical transport equipment at Dell'Oro Group. "DWDM Metro will be one of the principal mechanisms to deliver these high bandwidth services and we are predicting 73% growth for the worldwide DWDM Metro market between 2003 and 2008. Re-configurable optical add/drop multiplexers or ROADMs will enable service providers to use DWDM equipment in their metro infrastructure, since these products allow remote reconfiguration of DWDM networks."

The Dell'Oro Group report indicates that the SONET/SDH Multiservice and Optical Switch markets will also have strong growth potential driven by the increased demand in metro applications. The report also indicates increased activity around DWDM ultra-long haul, and 40 Gbps port speeds.

About the Report

The Dell'Oro Group Optical Transport 5-Year Forecast Report offers complete, in-depth coverage of the market with tables covering revenue, unit, port, and price forecasts for DWDM Long Haul, DWDM Metro, SONET/SDH ADM, SONET/SDH Multiservice, and Optical Switch. To purchase this report, call +1.650.622.9400 x223 or email Julie@DellOro.com.

About Dell'Oro Group

As a trusted source for market information about the networking and telecommunications industries, Dell'Oro Group provides in-depth, objective research and analysis that enables component manufacturers, equipment vendors, and investment firms to make fact-based, strategic decisions. For more information, contact Dell'Oro Group at +1.650.622.9400 or visit www.delloro.com.

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