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North America Optical Transport Equipment Surges 25%

June 3, 2022

According to a recently published report from Dell’Oro Group, the worldwide Optical Transport equipment market grew 2 percent year-over-year in 1Q 2022, driven by the stellar growth in the American regions, comprising North America and Latin America.

“Growth in Americas more than offset declines in other regions,” said Jimmy Yu, Vice President at Dell’Oro Group. “There was definitely strong demand for optical equipment in North America and Latin America, and vendors were able to deliver products even with component shortages and supply issues hampering them. Unfortunately, due to reasons that included the war in Ukraine, COVID lockdowns, supply problems, and weaker currency, optical revenue declined year-over-year in all of the other regions, including Europe, Asia Pacific, and China,” added Yu.

Additional highlights from the 1Q 2022 Quarterly Report:

Optical Transport revenue in North America and Latin America grew 25 percent and 19 percent year-over-year, respectively. The other regions declined at a mid-single-digit rate in the same period.

The vendors with the highest market share in the American regions include Ciena, Fujitsu, Infinera, and Cisco. Together, these companies have nearly 80 percent share of the regional revenue.

Component shortage and supply problems lowered the year-over-year worldwide optical market growth rate in the quarter from an estimated 6 percent to 3 percent.

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