Trade Resources Industry Views Hard Times Spending on Optical Networking Equipment Fell 23% Globally

Hard Times Spending on Optical Networking Equipment Fell 23% Globally

Europe's Optical Network Sales Slump 'worst in 5 Years’

Hard times?Spending on optical networking equipment fell 23%globally.Spending on optical networking equipment fell 23%globally in the first quarter of 2012(1Q12)compared with the previous quarter,according to market research firm Infonetics Research,Boston,Ma,US.The company published its gloomy analysis this week in its Optical Network Hardware vendor market share report.

Andrew Schmitt,principal analyst for optical networks at Infonetics Research commented,"While optical hardware revenue trends in all world regions were not positive in the first quarter of 2012,the most alarming development is that year-over-year in EMEA–particularly Europe–spending on WDM optical equipment decreased faster than spending on legacy SDH equipment."

"While optical hardware revenue trends in all world regions were not positive in the first quarter of 2012,the most alarming development is that year-on-year in EMEA–particularly Europe–where spending on WDM optical equipment decreased faster than spending on legacy SDH equipment.

"This is not the behavior of a region experiencing only a minor quarterly pullback.By contrast,the trend in North America was the opposite,with carriers cutting spending year-on-year but allocating[investment]towards forward-looking technology investments like WDM equipment and ROADMs."

Source: http://optics.org/news/3/5/31
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Europe's Optical Network Sales Slump 'worst in 5 Years’