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Technology Stocks : Corvis (CORV)

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May 27 5:00 PM EST

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To: SemiBull who wrote (304)	2/21/2003 7:48:56 PM
From: SemiBull	of 325

Undersea optical transmission market under water By Semiconductor Business News Feb 21, 2003 (11:37 AM) URL: siliconstrategies.com CEDAR KNOLLS, N.J.--The global undersea optical transmission market is forecast to remain in a downward cycle in 2003 due to oversupply of capacity, according to a report from Probe Research Inc. here today. Revenues in this market will continue to slide this year, although the sector will slowly rebound in 2004 for a total projected growth of 39% between 2002 and 2007, according to the report. "As with terrestrial backbone networks, submarine networks were overbuilt in anticipation of exceedingly high amounts of traffic that never materialized," said Probe Research analyst Maria Zeppetella. "We don't expect major network upgrades on transatlantic routes until 2005 and transpacific routes until 2006." The financial misery of many submarine carriers--several of which are in bankruptcy, such as 360networks, FLAG Telecom and Global Crossing--is also impacting the health of undersea optical transmission vendors. Zeppetella suggests that most of the growth in the next few years will be in repeaterless systems for festoon deployment, island linking and also for wireless operators wishing to own their own submarine cable when linking short distances.

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