SAN JOSE, Calif. – Worldwide CMTS revenue jumped 15% to US$209 million between the second and third quarters of 2005 (following a 25% increase the previous quarter) with upstream port shipments up 18% and downstream ports up 19%.
Strong growth is expected to continue for at least the next few years, says a report released last week from Infonetics Research’s Cable Aggregation Hardware quarterly report, with annual CMTS (cable modem termination system) revenue reaching US$1.1 billion in 2008. Growth in the market is fuelled by increasing data capacities, telephony, multimedia, and later, wideband DOCSIS 3.0, says the report.
Cable subscribers continue to grow at a healthy clip around the world, particularly in North America and Europe, despite the growing momentum behind lower-cost xDSL offerings and the rollout of PON and fiber-based services by incumbent telcos.
"North American MSOs continue to steal voice customers away from incumbent telcos by offering their own VoIP services or partnering with non-facilities- based VSPs, such as Vonage," said Infonetics Research analyst Jeff Heynen. "The ability to deliver triple play services with a single bill is extremely attractive for consumers. Combine that with the recent content partnership agreements with mobile operators and you have a service bundle that will continue to pull through cable broadband subscribers for years to come."
Other Q3 2005 market highlights included:
* Cisco maintained its commanding position in worldwide revenue and port shipments, capturing a 58% share of both
* Of the three CMTS market leaders, who capture 93% of worldwide revenue, Cisco was up almost US$16 million, Arris was up US$7 million, and Motorola was flat
* BigBand’s share increased a couple of points after posting a 66% revenue gain
* 49% of CMTS revenue was from North America, 21% from Europe, 18% from Asia Pacific, and 12% from Latin America.
Cable Aggregation Hardware tracks CMTS manufacturer revenue, upstream ports, and downstream ports, and follows Arris, BigBand, C9, Cableway, Cisco, Motorola, and Terayon.
