Service providers continue to invest on broadband access equipment, with global revenue increasing to $3.4 billion in the fourth quarter 2018, up 8% from the same period in 2017, according to a recent Dell'Oro Group report.
With 5G's arrival, telcos are opening their network budgets, said Jeff Heynen, research director for Broadband Access and Home Networking at Dell'Oro Group. Both 2.5 Gbit/s GPON and 10 Gbit/s EPON saw year-over-year increases, especially in China which is standardizing on 10 Gbit/s EPON, he said. Total PON ONT unit shipments increased 6%, driven by strong demand for 2.5 Gbit/s GPON units in China and the Asia-Pacific region, in general.
"The 10-gig EPON generation is now starting to hit the market in decent, measurable… and that will definitely continue. It really started to pick up in the second half of last year," Heynen told Broadband World News. "A lot of it is coming from China, but you have growing deployments of it in other parts of the world now, too. I really think XG-PON is the 10-gig, non-EPON technology that's going to win-out here. Anything that doesn't use [expensive] coherent optics or multiple wavelengths for residential apps, where margins are lower, those are the type of technology you want."
Service providers' spending on total DSL port shipments increased 16% year-over-year, with VDSL ports growing 13% and Gfast ports increasing 232%, according to the 4Q 2018 Broadband Access Quarterly Report.
Telco spending offset "surprising weakness in cable CCAP spending," which Heynen attributed to MSOs' delayed capacity purchases as they decided how to advance with distributed access architectures (DAA).
With most cable operators having recently wrapped up or neared completion of DOCSIS 3.1 deployments, they seem more loathe to begin heavily investing in the next necessity. But soon MSOs will move beyond investigating DAA now many recognize the myriad benefits, including increased network capacity, simplified outside plant maintenance and node evolution with Remote PHY, Remote MAC-PHY and Remote 10G EPON OLT, said Heynen.
As a result of a slowdown in CCAP license purchases in North America, total cable access concentrator revenue decreased 18% in 2018 versus 2017, dropping to $380 million, Dell'Oro's report said.
Network neutrality advocates want the FCC to open a proceeding to reinstate broadband as a Title II service amid a pandemic that has amplified the need for broadband connectivity, particularly for low-income households.
Today’s access network architecture is under mounting pressure due to a continued surge in the number of connected devices, a proliferation of bandwidth-intensive customer applications and dramatic shifts in usage patterns related to the pandemic, such as work-from-home and e-learning.
Learn why now is the right time for cable operators to build greenfield networks or expand their existing networks with 10G PON, arming customers with high-speed symmetrical broadband. Gain a clear understanding of the drivers impacting the access network and the various approaches being considered to deliver higher speed services. Plus, find out the best practices that operators are employing as they leverage the latest in passive optical technology to future-proof their networks.
Topics to be covered include:
Node + 0 (Fiber Deep)
DOCSIS 3.1, DOCSIS 4.0 (FDX/ESD)
FTTP and 10G PON
Provisioning 10G PON within a DOCSIS B/OSS environment