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Technology Stocks : Ciena (CIEN) -- Ignore unavailable to you. Want to Upgrade?

To: James Fulop who wrote (10333)	2/13/2001 10:42:30 AM
From: James Fulop	Read Replies (1) \| Respond to of 12623

Increasing Network Traffic Drives Revenue Surge in Next-Generation Optical Networking Says Frost & Sullivan SAN JOSE, Calif.--(BUSINESS WIRE)--Feb. 13, 2001-- The explosion of the Internet and the demand for increased bandwidth and functionality has rocketed the next-generation optical networking equipment market, resulting in tremendous growth opportunities for manufacturers and suppliers of these products. New strategic insight from Frost & Sullivan (www.frost.com), Next-Generation Optical Networking System Markets, reveals this segment of the worldwide optical market generated $9.2 billion in revenues in 2000 and is projected to jump to nearly $40 billion by 2005. The metropolitan equipment area, a market that earned $200 million in 1999, is expected to approach $13 billion by 2005. Frost & Sullivan forecasts robust growth in the optical networking market that will prevail, despite concerns about a slowdown in capital equipment spending. Service providers are fueling the market by replacing their obsolete designs with next-generation optical equipment, a necessary step to meet bandwidth demand and remain competitive. To exploit this growth opportunity, equipment manufacturers must supply solutions to service providers that scale network capacity, reduce bandwidth costs and feature flexible services. These solutions must also be able to integrate voice and data in an open-architecture environment that is interoperable with other vendors. ``Service providers recognize that next-generation systems are required to integrate voice and data into one converged network infrastructure,'' says Mark Storm, Frost & Sullivan senior analyst and program leader. ``Next-generation equipment is necessary to offer enterprise and residential customers choices, flexibility and customized products. This is essential if service providers want to boost revenues, capture new market share from competitors, decrease network costs and improve profitability.'' As the market evolves, manufacturers and service providers must collaborate to set standards for quality of service, interoperability and network management that guarantee on-time global solutions. ``The transition from traditional Sonet/SDH to next-generation optical systems is being impacted by service provider fears of purchasing 'future limiting' equipment,'' says Storm. ``Service providers must 'bet their business' on making wise equipment technology choices. If the installed equipment is not compatible with anticipated industry standards, network costs will rise.'' Frost & Sullivan presents the 2000 Marketing Engineering Awards to companies that have worked diligently to make a positive contribution to the next-generation optical networking system industry. The Technology Innovation Award is presented to Ciena (Nasdaq:CIEN - news). The Entrepreneurial Company Award went to ONI Systems (Nasdaq:ONIS - news). The Global Marketing Strategy Award was given to Nortel Networks (NYSE:NT - news). The Mergers and Acquisition Strategy Award was given to Cisco Systems (Nasdaq:CSCO - news). The Product Launch Strategy Award was given to Corvis (Nasdaq CORV). The Product Line Strategy Award was presented to ADVA Optical (FSE:ADV). Companies that participated within this industry include: ADVA; Alcatel; Alidian; Astral Point; Aura Networks; Ciena; Cisco; Corvis; Cyras; Dynarc; ECI Telecom; Extreme; Foundry; Fujitsu; Gotham; Hitachi; Lucent; Marconi; Metro Optix; NEC; Nortel; ONI Systems; Redback; Siemens/Optisphere; Sorrento; Sycamore; Tellabs; Tellium. Frost & Sullivan, headquartered in San Jose, Calif., is a global leader in international strategic market consulting and training. Frost & Sullivan's industry experts monitor the telecommunications transmission industry for market trends, market measurements and strategies. This analysis is part of the Optical Networking Market Subscription, which includes studies on Optical and Electrical Cross-Connects and Traditional Sonet/SDH Systems. Executive summaries and interviews are available to the press. biz.yahoo.com