Optical Transport Equipment Used in Data Center Interconnect Rose 13 Percent in 1Q 2020, According to Dell'Oro Group

Top Three Vendors were Ciena, Cisco, and Infinera

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May 28, 2020, 08:00 ET

REDWOOD CITY, Calif., May 28, 2020 /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, sales of optical transport equipment used for data center interconnect (DCI) increased 13 percent year-over-year in 1Q 2020. The top three vendors—Ciena, Cisco, and Infinera—with a combined share of over 70 percent benefited the most from the rising demand for data center connectivity.

"Data center interconnect continued to be an important application for optical transport equipment, especially in times like this," said Jimmy Yu, Vice President at Dell'Oro Group. "While macroeconomic conditions will suffer this year due to the actions taken to contain the spread of COVID-19, we anticipate demand for data center connectivity will continue to rise as people rely more on cloud-based services," added Yu.

Additional highlights from the 1Q 2020 Optical Transport Quarterly Report:

Spending on optical equipment for DCI was highest for metro spans in the quarter, outpacing the growth for DCI used in long haul spans.
Most companies purchasing DCI equipment use the highest available wavelength speeds, driving sharp demand for 400 Gbps wavelengths.
Cisco and Infinera, each gained 6 to 7 percentage points of data center interconnect market share in 1Q 2020 compared to 1Q 2019 as their customers buy more 600 Gbps-capable disaggregated WDM systems.

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 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 [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 https://www.delloro.com.

SOURCE Dell'Oro Group