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Strategies & Market Trends : Technical analysis for shorts & longs -- Ignore unavailable to you. Want to Upgrade?

To: Johnny Canuck who wrote (38960)	3/12/2003 2:54:58 AM
From: Johnny Canuck	Read Replies (1) \| Respond to of 71351

The Going Gets Tough in the Cable Modem Chip Market SCOTTSDALE, Ariz., March 11, 2003 - The cable modem chip market is entering a mature, more commoditized phase that will result in increasingly tough competition for vendors in the industry, reports In-Stat/MDR. Although eight companies nominally supply cable modem silicon to the market, the top four accounted for roughly 99% of the unit shipments to the market in 2002, and the high-tech market research firm reports that it is unlikely that all eight vendors will remain in the market by the end of 2003. “Given the declining revenue for the market forecasted over the period from 2003 to 2007, it is entirely conceivable that only the top four players will remain in this market by the end of the forecast period,” says Sam Lucero, an Analyst with In-Stat/MDR. The total worldwide market for cable modem chips is expected to decline from 10.6 million units shipped in 2002 to 9.6 million chips shipped in 2007, after a brief climb to 11.1 million units shipped in 2004. Likewise, total worldwide revenue is expected to decline rapidly for the market, from $159.3 million in 2002, to $90.8 million in 2007, as a result of both a decline in unit shipments and ASPs over the forecast period. In-Stat/MDR has also found that: For 2002, the top cable modem chip vendors, by market share, were: Broadcom, Texas Instruments, Imedia and Conexant, with the other four vendors combined accounting for only about 1% of the market. The industry is putting increasing effort behind more recent cable modem standards, such as CableHome and PacketCable, that promise to facilitate the ability of cable operators to effectively provide “triple play” video, voice and data services and to derive increasing revenue from the service provider management of home networks. Regionally, North America is expected to decline in percentage terms – for both units shipped and revenue – relative to the rest of the world, as first Asia-Pacific, and then EMEA, gain a larger share of the market. The report, Cable Modem Chips 2003: The Going Gets Tough (And The Tough Get 2.0) (#IN030729NT), examines the market for cable modem chips with a particular emphasis on technological and market trends, drivers and challenges. This report also provides a 2002 market share breakdown for cable modem chip vendors, as well as a five-year worldwide forecast of cable modem chip shipments and revenues for the industry, including a regional breakout. To purchase this report, or for more information, please contact Courtney McEuen at 480.609.4533; cmceuen@reedbusiness.com. The report price is $2,995 U.S. Dollars.