The latest findings from Dell’Oro Group have unveiled a significant decrease in the global revenue of the Broadband Access equipment market, which fell to $4.1 billion in the third quarter of 2023. This marks a noteworthy 14 percent year-over-year decline, signaling a challenging period for the Broadband Access equipment industry.
One notable exception in this otherwise contracting market was the expenditure on Fixed Wireless CPE (Customer Premises Equipment). North American operators spearheaded this growth by expanding their 5G Sub-6GHz subscriber bases, contributing to a positive trend amidst the overall decline.
Jeff Heynen, Vice President at Dell’Oro Group, highlighted the shifting landscape, stating, “The inventory alignment that began in North America has now migrated to Europe and Latin America, as both regions saw significant /Y declines in equipment spend.”
Heynen also emphasized the resurgence of Chinese operators, accelerating their acquisitions of PON ONTs (Passive Optical Network Optical Network Terminals) to support the burgeoning FTTR (Fiber-to-the-room) deployments.
Key highlights from the report include:
Fixed Wireless CPE: Unit shipments observed a 1 percent increase from the previous quarter, driven particularly by indoor 5G Sub-6GHz units, reaching nearly 1.3 million units — marking a substantial milestone.
Cable Access Concentrator Revenue: Experienced an 18 percent year-over-year decrease, totaling $197 million. This decline was evident in Remote PHY devices and Virtual CMTS platforms, attributed to cable operators utilizing existing inventories. Conversely, Remote OLT (R-OLT) revenue showcased a year-over-year increase but experienced a decline from the previous quarter.
