Third Consecutive Quarter of Year-over-Year Growth Due to Supply Improvements
REDWOOD CITY, Calif. – August 23, 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, Optical Transport equipment revenue grew 5 percent year-over-year in 2Q 2023. This was the third consecutive quarter that the optical market growth rate topped estimates.
“It was another great quarter for optical system vendors,” said Jimmy Yu, Vice President at Dell’Oro Group. “Ever since component supply eased up, system manufacturers have been able to deliver more products to their customers that sat in backlog. As a result, optical revenues have increased at a faster rate than expected. With that said, some customers are signaling a need for a little pause after receiving these deliveries. Therefore, even though the results in the first half of 2023 were higher than expected, we are holding the full year 2023 outlook at 4 percent, believing year-over-year growth will slow in the back half of the year,” added Yu.
Additional highlights from the 2Q 2023 Optical Transport Quarterly Report:
- Optical Transport market revenue grew 5 percent year-over-year in 2Q 2023 to a little over $4.0 billion. The better-than-expected revenue was due to higher DWDM Long Haul and Multiservice Multiplexer revenue.
- The largest global WDM suppliers in the trailing four quarter period were Huawei, Ciena, Nokia, ZTE, Infinera, and FiberHome. Among these vendors, Nokia and FiberHome gained the most market share compared to the previous year period. FiberHome’s optical revenue grew at the highest rate among the vendors at over 30 percent year-over-year.
The Dell’Oro Group Optical Transport Quarterly Report offers complete, in-depth coverage of the market with tables covering manufacturers’ revenue, average selling prices, and unit shipments (by speed including 100 Gbps, 200 Gbps, 400 Gbps, and 800 Gbps). The report tracks DWDM long haul, WDM metro, multiservice multiplexers (SONET/SDH), optical switch, optical packet platforms, data center interconnect (metro and long haul), and disaggregated WDM. To purchase this report, please contact us at dgsales@delloro.com.
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 https://www.delloro.com.
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