2024 Outlook Lowered Due to Slower PON and
Cable CPE Purchasing
REDWOOD
CITY, Calif., July 30,
2024 /PRNewswire/ -- According to a newly published
report by Dell'Oro Group, the trusted source for market information
about the telecommunications, security, networks, and data center
industries, Broadband Access Equipment market is forecasted to grow
2 percent on average for the next five years (2024-2028) due in
part to lower spending in 2024 as operators continue to absorb
excess inventory and, in the case of Tier 1 cable operators,
dramatically slow their purchases of new DOCSIS CPE.
"Most service providers are taking a conservative approach to
2024, choosing to rely on existing inventory as they receive mixed
signals on inflation, consumer spending, and new home
construction," said Jeff Heynen,
Vice President at Dell'Oro Group. "2025 is shaping up to be a
rebound year for spending, driven by ongoing fiber network
expansions as well as cable DAA upgrades," added Heynen.
Additional highlights from the Broadband Access & Home
Networking 5-Year July 2024 Forecast
Report:
- PON equipment revenue is expected to grow from $11.1 B in 2023 to $12.9
B in 2028, driven largely by XGS-PON deployments in
North America, EMEA, and CALA, as
well as FTTR (Fiber to the Room) and 50 Gbps deployments in
China.
- Revenue for Cable Distributed Access Equipment (Virtual CCAP,
Remote PHY Devices, Remote MACPHY Devices, and Remote OLTs) is
expected to peak at $1.2 B in 2027,
as operators continue their DOCSIS 4.0 and early fiber
deployments.
- Revenue for Fixed Wireless CPE is expected to reach
$2.6 B by 2028, led by shipments of
5G sub-6 GHz and a growing number of 5G millimeter wave units.
- Revenue for Wi-Fi 7 residential routers and broadband CPE with
WLAN will reach $8.4 B by 2028, as
the technology is rapidly adopted by consumers and service
providers alike.
About the Report
The Dell'Oro Group Broadband Access
& Home Networking 5-Year Forecast Report provides a complete
overview of the Broadband Access market with tables covering
manufacturers' revenue, average selling prices, and port/unit
shipments for PON, Cable, Fixed Wireless, and DSL equipment.
Covered equipment includes Converged Cable Access Platforms (CCAP),
Distributed Access Architectures (DAA), DSL Access Multiplexers
(DSLAMs), PON Optical Line Terminals (OLTs), Customer Premises
Equipment ([CPE] for Cable, DSL, PON, Fixed Wireless), along with
Residential WLAN Equipment, including Wi-Fi 6E and Wi-Fi 7 Gateways
and Routers. For more information about the report, please contact
dgsales@delloro.com.
About Dell'Oro Group
Dell'Oro Group is a market
research firm that specializes in strategic competitive analysis in
the telecommunications, security, enterprise networks, and data
center infrastructure markets. Our firm provides in-depth
quantitative data and qualitative analysis to facilitate critical,
fact-based business decisions. For more information, contact
Dell'Oro Group at +1.650.622.9400 or visit www.delloro.com.
View original content to download
multimedia:https://www.prnewswire.com/news-releases/broadband-equipment-spending-expected-to-grow-at-2-percent-cagr-over-next-five-years-according-to-delloro-group-302209268.html
SOURCE Dell'Oro Group