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ROADM equipment sales to reach US$920 million worldwide in 2011, Heavy Reading estimates

Worldwide sales of reconfigurable optical add/drop multiplexing (ROADM) gear will break the US$250 million mark for...


September 27, 2006  


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Worldwide sales of reconfigurable optical add/drop multiplexing (ROADM) gear will break the US$250 million mark for the first time in 2006 and will grow to US$920 million in 2011, for an average annual growth rate of almost 30%, according to a major new report from Heavy Reading, the market research division of Light Reading Inc.

ROADM & WDM Worldwide Market Forecast, 2006-2011 assesses the current state of the ROADM market and forecasts its performance through 2011.

The report includes five-year revenue and market share forecasts for the ROADM and WDM sectors, as well as market share data for WDM and ROADMsystem vendors current through the second quarter of 2006.

“IPTV and triple-play services are the biggest drivers for ROADM deployment,” notes Scott Clavenna, chief analyst with Heavy Reading and author of the report.

“ROADMs are the primary link between IPTV and optical, so where IPTV is rolled out, ROADMs will follow. ROADMs are an excellent way for optical transport vendors to ride the massive tide of consumers and content lifting other telecom segments.”

Clavenna cautions that the long-term success of the ROADM sector depends on telco commitments to offer video services over their networks.

“If telco IPTV buildouts get scrapped or postponed, the ROADM market will suffer,” he adds.

The ROADM and WDM markets involve most of the world’s largest telecom equipment makers, including Alcatel, Cisco Systems, Ericsson, Fujitsu,Huawei Technologies, Lucent Technologies, Nortel Networks and Siemens.