Cable operators don't want to be left behind in the race to offer ultra-fast broadband services and are stepping up the pace of investments in DOCSIS 3.1 technology to offer gigabit speeds to their customers.
Latest figures from Dell'Oro Group show that the "lure of gigabit speeds" has pushed cable operators to build out their infrastructure and invest rapidly in the new cable protocol, underlining the fact that 2016 has been a good year for cable modem termination system (CMTS) deployments with three consecutive quarters of double-digit growth. Investments in customer premises equipment (CPE) are then expected to ramp up in 2017, the report adds.
Alam Tamboli, senior analyst at Dell'Oro Group, said the cable CMTS market increased by 22% year-on-year in the third quarter as cable operators bet that gigabit speeds will help them penetrate the small enterprise market.
"The market is dominated by Arris and Cisco with Cisco's strength in the quarter driving the market," said Tamboli, noting that Arris Group Inc. (Nasdaq: ARRS) and Technicolor (Euronext Paris: TCH; NYSE: TCH) are currently the leading players in the cable CPE market.
"In 2017, we expect that DOCSIS 3.1 infrastructure will be more ubiquitous and pervasive throughout cable operators' networks," he added. "Spending on cable CPE devices will increase dramatically as cable operators focus on delivering much faster speeds to customers to better compete with telecom operators deploying PON and G.fast technologies."
Over the next two years, approximately 60% of service providers (both large and small) will adopt virtualization on a wide scale across their networks, according to the latest survey report from Ovum. Why are providers making these moves? Is there an easy way to start?
Learn how and why service providers are using virtualization to transform their networks. This webinar will look at how providers are leveraging virtualization to create more flexible and agile networks while also providing a better customer experience. Expert speakers from netElastic and Heavy Reading will address the industry drivers for network virtualization, the benefits that can be realized, the challenges to face and the results of virtualization being achieved by providers today.
Key topics will include:
Current network infrastructure and the move to virtualization
Benefits and challenges of network virtualization
How providers can get started
Service provider success stories: the decision to virtualize, the solution, and results