Total CPE Unit Shipments Dropped 7 Percent Y/Y, as Operators Correct Inventories
REDWOOD CITY, Calif. – June 9, 2023– According to a recently published report from Dell’Oro Group, the trusted source for market information about the telecommunications, security, networks, and data center industries, total global revenue for the Broadband Access equipment market increased to $4.6 B in 1Q23, up 7 percent year-over-year (Y/Y). Spending on infrastructure remained robust. However, ONTs. Modems, and other CPE units to connect broadband subscribers, dropped 7 percent Y/Y.
“For many service providers, broadband subscriber growth is slowing, resulting in a reduced need for new CPE,” said Jeff Heynen, Vice President with Dell’Oro Group. “Meanwhile, infrastructure purchases are strong as providers continue to expand their footprints and replace legacy copper networks,” explained Heynen.
Additional highlights from the 1Q 2023 Broadband Access and Home Networking quarterly report:
- Total residential Wireless LAN units were up 5 percent Y/Y, marking the first Y/Y increase since 1Q 2021. Consumers are finally increasing their purchases of Wi-Fi 6 and Wi-Fi 6E units after last upgrading back in 2020.
- Total cable access concentrator revenue was up 4 percent Y/Y at $265 M. Remote PHY devices, Remote OLTs, and Virtual CMTS platforms all recorded significant revenue gains for the quarter, as cable operators continue to expand their DAA and fiber initiatives.
About the Report
The Dell’Oro Group Broadband Access and Home Networking Quarterly Report provides a complete overview of the Broadband Access market with tables covering manufacturers’ revenue, average selling prices, and port/unit shipments for Cable, DSL, and PON equipment. Covered equipment includes Converged Cable Access Platforms (CCAP) and Distributed Access Architectures (DAA); Digital Subscriber Line Access Multiplexers ([DSLAMs] by technology VDSL, VDSL Profile 35b, and G.FAST); PON Optical Line Terminals (OLTs), Cable, DSL, and PON CPE (Customer Premises Equipment); Fixed Wireless Access (FWA) CPE; and Residential WLAN Equipment, including Mesh 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, data center infrastructure, and network security 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 https://www.delloro.com.
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