Global broadband aggregation equipment revenue (DSL, PON, and Ethernet FTTH) grew 12 percent sequentially in the second quarter of 2015 (2Q15) and 11 percent year-over-year, driven largely by record Gigabit Passive Optical Network (GPON) equipment shipments in China and an increase in very-high-bit-rate DSL (VDSL) deployments, according to newly published research from IHS (Infonetics).
Some highlights:
- China set a record for PON equipment revenue in 2Q15, surpassing $1 billion in a quarter for the first time ever
- Q2 spending on PON equipment globally was up both sequentially and on a year over-year basis, and IHS anticipates increased spending for the full-year 2015 as more operators deploy FTTH services
- The 2Q15 spending environment in North America was very mixed: GPON expenditures were up 1 percent from 2Q14 but down 10 percent from 1Q15, while DSL spending plunged 18 percent from 2Q14 but grew 5 percent from 1Q15
- Due to the tremendous, sustained investment in China, IHS now predicts the worldwide broadband aggregation market will reach $9 billion in 2019
