Date: 28/03/2013

Infonetics: OTN transport and switching equipment market grew 8% in 2012, to $7.3 billion

Market research firm Infonetics Research estimates the OTN transport and switching equipment market grew 8% in 2012, to $7.3 billion.

“OTN spending, and particularly OTN switching, is benefiting from a rise in investment in coherent core networks,” explains Andrew Schmitt, principal analyst for optical at Infonetics Research. “Many service providers rolling out 100G are using the opportunity to upgrade their optical switching infrastructure. In the metro, investment is rapidly rotating away from legacy SONET/SDH to packet-optical transport systems that combine optical and Ethernet circuit switching in the same chassis.”

Other highlights shared by Infonetics includes:
The OTN transport and switching equipment market grew 8% in 2012, to $7.3 billion
The bulk of the growth comes from the OTN switching segment, up 46% in 2012 from 2011
Infonetics forecasts the OTN equipment market to top $13 billion in 2017
Having embraced OTN technology early, North America leads the world in overall OTN deployments, while China is the frontrunner in OTN switching deployments
Infinera was #1 in OTN switching in North America in 2012, despite only recognizing revenue in the 2nd half of the year
Sales of P-OTS gear climbed 7% in 2012, to $1.2 billion
Tellabs and Fujitsu together hold the lion’s share of the P-OTS market as a result of their aggressive deployments at Verizon, while Ciena, Cisco, and Alcatel-Lucent remain in a tight 3-way horse race
Author: Srinivasa Reddy N