Boston, MASSACHUSETTS, November 15, 2011—Market research firm Infonetics Research today released excerpts from its third quarter 2011 (3Q11) Optical Network Hardware vendor market share report.
"Cisco posted a big sequential gain in optical equipment revenue (+46%), as did the vendors who sell into Japan, and WDM equipment sales were up in North America, but outside of this, Q3 was not a strong quarter for the optical network hardware market," observes Andrew Schmitt, directing analyst for optical for Infonetics Research. "A telltale sign of a capex slowdown is when purchases of advanced equipment (WDM) decline and legacy equipment (SDH) increase – this happened in the EMEA region (namely Europe), but not in North America. This is a key trend to watch for in 4Q11; if continued in EMEA this would be a strong negative leading indicator."
OPTICAL NETWORK HARDWARE HIGHLIGHTS
- While down sequentially, Huawei cemented its leadership position in the optical hardware market, with global revenue up 23% compared to the year-ago quarter
- The global optical network equipment market, including WDM and SDH/SONET equipment, dropped 4% sequentially in 3Q11, from $3.5 billion to $3.4 billion, on the heels of a 12% increase in 2Q11
- Rolling 12-month spending averages remain positive (despite the uptrend line being broken this quarter), and year-over year, from 3Q10 to 3Q11, the overall optical network equipment market is up 5%
- The bright spot of the quarter is WDM optical network equipment, global revenue for which is up 18% year-over-year (3Q10 to 3Q11)
- ROADM network equipment spending set a new high in 3Q11, up 4% sequentially, and shipments are up a stunning 43% for January through September 2011 compared to the same 9-month period last year
- North America posted modest quarter-over-quarter gains with good performances by Cisco, Nokia Siemens Networks, and ADVA
- Performance in Asia was a mixed bag with good results in Japan but relatively weak results in China for the overall optical market
Infonetics’ quarterly Optical Network Hardware report tracks Adtran, ADVA, Alcatel-Lucent, BTI, Ciena, Cisco, ECI, Ericsson, Fujitsu, Huawei, Infinera, NEC, Nokia Siemens Networks, Nortel, Sycamore, Tellabs, Transmode, Tyco, ZTE, and others. The report provides worldwide and regional vendor market share, market size, and analysis (forecasts published Nov. 23). Equipment tracked: metro and long haul optical network equipment, including SONET/SDH (ADMs/terminals, metro MSPPs, crossconnects), WDM (transport, ROADM, long haul submarine line terminating equipment), and packet-optical transport systems (P-OTS). Also tracked: number of ports and revenue per port by speed (Ethernet, SONET/SDH/POS, WDM) from below OC48/STM1 to 100G. Regions: Asia Pacific (breakouts for China, Japan, India), CALA (Central America/Latin America), EMEA (Europe, Middle East, Africa), North America, and worldwide.
CLIENT CONFERENCE CALL
Clients: Join analyst Andrew Schmitt for his 3Q11 Optical Network Hardware market telebriefing on Tuesday, Dec. 6, 11:00 a.m. Eastern: http://www.infonetics.com/cgp/login.asp?id=465.
UPCOMING OPTICAL RESEARCH
Download prospectuses, tables of contents, highlights, etc. at http://www.infonetics.com/login (see OPTICAL for 2011 and new 2012 services).
- Larry Howard, VP (West NA, APAC, CALA): email@example.com, +1 408-583-3335
- Scott Coyne, Sr. Account Dir. (East NA, Texas, Midwest): firstname.lastname@example.org, +1 408-583-3395
- George Stojsavljevic, Sr. Account Dir. (EMEA): email@example.com, +44 755-488-1623
- Takashi Kimura, TAK Analytics, Sales (Japan): firstname.lastname@example.org, +81 3-6408-5566
- Hinton Information Services, Taiwan: www.hintoninfo.com.tw, +886-2-2799-3110 x220
- Doug Moon, MBAP Sales, Korea: email@example.com, +82-2-3453-9400
Infonetics Research (www.infonetics.com) is an international market research and consulting firm serving the communications industry since 1990. A leader in defining and tracking emerging and established technologies in all world regions, Infonetics helps clients plan, strategize, and compete more effectively.
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