News

28 May 2009

 

PON grows 9% in Q1/ 2009, boosted by China build-outs, FiOS and Japan

Passive optical network (PON) equipment revenues grew 9% sequentially in first-quarter 2009, despite a weak global economy, according to the ‘Access Quarterly Report’ from market research firm Dell’Oro Group. Both Gigiabit passive optical networks (GPON) and Ethernet passive optical networks (EPON) had robust sequential growth.

“It appears the weak economy has yet to have a major impact on existing PON projects as operators continue to hold to their strategy of increasing user bandwidth to create new revenue streams,” says president Tam Dell’Oro. “PON revenue growth in the first quarter was higher than what we had expected due to rapidly increasing EPON build-outs in China, strong GPON ONT [optical network unit] shipments for Verizon’s FiOS service, and continued strong EPON demand in Japan,” he adds.

Mitsubishi remained the leader in the overall PON market, benefiting from being the primary EPON supplier to NTT, Japan’s largest service provider. Alcatel-Lucent recaptured the number two position, with higher GPON ONT shipments to Verizon. Huawei’s nearly doubled its revenue share from last quarter and vaulted to the number three spot due to strong EPON shipments to China, as well as higher GPON shipments to customers in Europe and the Middle East, the report concludes.

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