Infonetics Research: Optical network hardware sales jump 14% in 2Q, driven by Alcatel-Lucent, Huawei, ZTE

CAMPBELL, CA, Aug 27 (MARKET WIRE) --
Communications market research firm Infonetics Research reports that
worldwide optical network hardware sales got back on their upward track
after the usual first quarter seasonal decline, as total optical hardware
revenue hit $4.1 billion in 2Q08, up 14% sequentially.

Infonetics' report, Optical Network Hardware, shows that the jump in
manufacturer revenue was driven by strong performances by Alcatel-Lucent,
Huawei, and ZTE, in part due to increased activity in China.

"China's telecom restructuring projects and associated announcements
indicate increasing optical network hardware capital investments in China
over the next several years, and have started already in 2008. Optical
spending by carriers in most Asia Pacific regions generally remains strong
for the next few years, particularly in Korea, Japan, and Hong Kong.
Carriers in India are buying more optical equipment as well, starting this
year, and will continue ramping up spending over the next few years," said
Michael Howard, principal analyst at Infonetics Research.

Other
highlights from the report:

-- Perennial optical network hardware market leaders Alcatel-Lucent and
Huawei each posted double-digit increases in worldwide optical network
hardware revenue in 2Q08
-- ZTE posted a huge triple-digit increase in worldwide optical network
hardware revenue in 2Q08, eking past Nortel and Nokia Siemens for the #3
spot
-- Packet optical transport system (POTS) hardware sales are a growing
portion of the optical network hardware market, making up 11% of worldwide
sales now, 17% by 2011
-- ROADM gear will become commonplace in metro optical systems; WDM ROADM
hardware makes up 39% of worldwide WDM revenue in 2Q08, and will grow in
double digits through at least 2011
-- Asia Pacific's share of worldwide optical network hardware revenue
jumped 5 points in 2Q08 to 23%, while North America's share declined 5
points to 32%

Infonetics' report provides market share, market size, and forecasts
for metro and long haul optical equipment, including SONET/SDH
(transport, MSPPs and crossconnects), WDM (DWDM transport, CWDM
transport, and ROADM), and POTS. Forecasts and regional market share are
updated quarterly and cover all regions.

The report tracks ADTRAN, ADVA Optical, Alcatel-Lucent, Ciena, Cisco,
Corrigent, ECI, Ericsson, Fujitsu, Huawei, Infinera, NEC, Nokia Siemens
Networks, Nortel, OpVista, Sycamore, Tellabs, Transmode, Turin, ZTE,
Xtera/Meriton, and others.

For report highlights, log in to Infonetics' online portal from
www.infonetics.com (see Optical Networks). For sales, contact Larry
Howard, vice president, at larry@infonetics.com or +1 (408) 583-3335.

Infonetics Research (www.infonetics.com) is an international market
research and consulting firm serving the communications industry since
1990. A leader in defining and tracking emerging and established
technologies in all world regions, Infonetics helps clients plan,
strategize, and compete more effectively.

Press Contact
Michael Howard
Principal Analyst and Co-Founder
Infonetics Research
408-583-3351
Email Contact

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