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Broadband equipment spending reaches record levels in Q2

According to a recently published report from Dell’Oro Group, the trusted source for market information about the telecommunications, networks, and data center industries, total global revenue for the Broadband Access equipment market increased to $4.5 B in 2Q 2022, up 12 percent year-over-year (Y/Y). Spending on PON equipment continues to fuel the overall market, with revenue for PON OLTs reaching a record $1.3 B in the quarter.

“Operators in Europe, China, and Southeast Asia increased their spending on PON equipment, offsetting some seasonal slowness in North America,” noted Jeff Heynen, Vice President, Broadband Access and Home Networking at Dell’Oro Group. “The transition to fiber is clearly a worldwide phenomenon, no longer isolated to just a handful of countries,” explained Heynen.

Additional highlights from the 2Q 2022 Broadband Access and Home Networking quarterly report:

  • Total XGS-PON ONT unit shipments exceeded 1 M for the first quarter on record, reaching 1.2 M worldwide.
  • Total cable access concentrator revenue decreased 4 percent Y/Y to just over $236 M. Record quarterly revenue for remote PHY devices and remote OLTs couldn’t offset weakness in CCAP channel licenses.
  • Total cable CPE units increased 3 percent Y/Y, as vendors were able to fulfill orders that had been backlogged for multiple quarters. Total revenue was up 11 percent Y/Y as higher-end DOCSIS 3.1 gateways are as a percentage of total unit shipments.

CT Bureau

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