Re: Optical Stats - Worldwide DWDM Forecasts
Thread- Hope LMT followers don't mind me tracking some optical stats on this thread. I've posted quite a few SONET and Metro DWDM stats upstream. I want to attempt to keep these important stats threaded together.
It's related to access as a lot equipment companies who have product in the access space, also have product in the metro/long haul space too. For example, DWDM appears to be making headway into the HFC plants of some major MSOs. -MikeM(From Florida)
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Worldwide Markets for Dense Wavelength-Division Multiplexing (DWDM)
Explosive Growth in the DWDM Systems Market
The DWDM systems market jumped from $4.2 billion in 1999 to $8.9 billion in 2000, according to KMI estimates. From $1.7 billion in 1997, the market has grown at a 73% compound annual growth rate (CAGR) over the last four years.
The DWDM market boomed from 1999 to 2000, as several indicators suggest. The number of vendors offering DWDM system-level products grew from about 15 in 1999 to more than 30 in 2000--despite some high-profile acquisitions in the industry.
The cumulative number of carriers that have deployed DWDM climbed from 75 in 1999 to 175 in 2000. The number of publicly announced contracts for DWDM will also approximately double from 75 in 1999 to an expected 150 this year.
Demand for Bandwidth Fuels Current Growth
Such growth reflects the tremendous demand long-distance carriers face for transporting bandwidth. However, DWDM is filtering down the fiber network from the ultra-long-haul core ever closer to the end user in metropolitan applications, access networks, and enterprises. Vendors have begun to tailor the products to meet the demands of these various network segments. In 1998 long-distance products represented 95% of the market, but in 2000 they will account for 90% of the market.
$60-Billion Market Forecast
KMI is forecasting continued strong growth in the DWDM market, but at a slower rate than the furious pace we've seen over the past few years. The DWDM systems market will grow at a 43% CAGR from 2000 to 2005, when the market will reach an impressive $53.9 billion.
The slower rate of growth reflects several trends: a maturation of the long-distance market, the faster growth of less expensive products, stiffening competition that will lead to price pressures, and shorter-distance products in the market. By 2005, the short-distance market will exceed $9.6 billion and represent about 18% of the market.
kmicorp.com |
