Coherent 100 Gbps and 200 Gbps WDM Shipment Demand Increased 75 Percent in 2016, According to Dell'Oro Group

Five Vendors Captured 80 Percent of Coherent Shipment Share

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Mar 16, 2017, 08:00 ET

REDWOOD CITY, Calif., March 16, 2017 /PRNewswire/ -- According to a recently published report from Dell'Oro Group, the trusted source for market information about the telecommunications, networks, and data center IT industries, demand for coherent 100 Gbps and 200 Gbps wavelengths on WDM optical systems increased by approximately 75 percent in 2016, surpassing 250,000 units. Five vendors – Ciena, Huawei, Infinera, Nokia, and ZTE – captured 80 percent share of all coherent shipments in the year.

"There is an insatiable demand for coherent optics," said Jimmy Yu, Vice President at Dell'Oro Group. "The number of coherent 100 and 200 Gbps shipments hit new highs in 2016, exceeding our highest expectations. We think this demand will be further fueled by the availability of CFP2-ACO and DCO pluggable optics this year, and the increasing adoption of these higher speeds in WDM metro networks around the world," added Yu.

Additional highlights from the 4Q16 Optical Transport Quarterly Report:

Coherent line card shipments contributed close to 75 percent of the WDM optical systems market revenue in 2016.
The majority of WDM optical revenue was from Asia Pacific, followed by North America and EMEA. The share of revenue in the year was 40 percent, 29 percent, and 22 percent, respectively.
Price erosion of coherent WDM optical systems was higher than typical in 2016 at 27 percent. Price declines are expected to stabilize in 2017.

About the Report
The Dell'Oro Group Optical Transport Quarterly Report offers complete, in-depth coverage of the market with tables covering manufacturers' revenue, average selling prices, unit shipments (by speed including 40 Gbps, 100 Gbps, and >100 Gbps). The report tracks DWDM long haul terrestrial, WDM metro, multiservice multiplexers (SONET/SDH), optical switch, and optical packet platforms. To purchase this report, call Matt Dear at +1.650.622.9400 x223 or email [email protected].

About Dell'Oro Group
Dell'Oro Group is a market research firm that specializes in strategic competitive analysis in the telecommunications, networks, and data center IT 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 www.delloro.com.

SOURCE Dell'Oro Group