Worldwide Demand for Broadband Technology Continues To Grow: CPE Units Jump 73% in 2004
SAN JOSE, Calif., March 3 /PRNewswire/ -- The broadband boom continues: worldwide, revenue for broadband modems, routers, and gateways totaled $4.6 billion in 2004, up 15% from 2003, and units totaled 73 million, up 74%, according to Infonetics Research's quarterly market share and forecast report, Broadband Modems, Routers, and Gateways. Revenue hit $1.16 billion in 4Q04, down 7% from the previous quarter, despite unit growth of 17% to 23.3 million.
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Broadband growth continues to accelerate around the world, fuelling unit growth. Unit shipments are projected to soar 191% to almost 200 million and revenue will grow 28% to $5.6 billion between 2004 and 2008.
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Laptop computer sales continued to grow, even as desktop PC sales foundered in recent years. Last year, laptop sales were on target to grow 21 percent to $57.3 million this year, according to market researcher International Data Corp.
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"As DSL outpaces growth in other forms of broadband access, DSL CPE becomes an even more significant proportion of the overall CPE market," said Richard Webb, directing analyst of Infonetics Research and lead author of the report. "However, while unit growth continues apace throughout our forecast period, CPE prices erode, inhibiting overall revenue growth for broadband CPE."
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John Weber, managing director Aviation Services at OAG, "It is apparent from our statistics that there is continued and growing consumer demand for air travel.
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4Q04 Market Highlights
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-- D-Link leads the overall broadband modem, router, and gateway revenue
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leaderboard in 4Q04, just ahead of Thomson; Motorola claims third
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place, ahead of Cisco-Linksys and Siemens, which are tied for fourth
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-- DSL CPE makes up 48% of total revenue in 4Q04, cable CPE makes up 17%,
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broadband gateways 25%, and voice terminal adapters and IP set top
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boxes make up the remainder; by 2008 this shifts to 59% DSL CPE, 15%
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cable CPE, 15% gateways, and 11% VTAs and IP STBs
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-- In 4Q04, 35% of overall revenue is from North America, 33% is from
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EMEA, 27% is from Asia Pacific, and 5% is from CALA
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The Broadband Modems, Routers, and Gateways report tracks DSL CPE (ADSL IADs and ADSL, G.SHDSL, and VDSL modems and routers), cable CPE (modems, routers, and EMTAs), IP set top boxes, and broadband gateways (standard and secure, wired and wireless). Companies tracked include Ambit, Arris, Buffalo, Cisco, Cisco-Linksys, D-Link, Motorola, NETGEAR, Sagem, Scientific Atlanta, Siemens, SMC Networks, Sumitomo, Terayon, Thomson, US Robotics, ZyXEL, and others.
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Forecasts and regional market share for both reports are updated quarterly and cover all regions (worldwide, North America, EMEA, Asia Pacific, CALA).
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For the table of contents, log on to Infonetics Research's Information Portal at www.info.infonetics.com. For sales, contact Larry Howard, vice president, at larry@infonetics.com or 916-933-3543.
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Infonetics Research (www.infonetics.com) is an international market research and consulting firm covering the data networking and telecommunications industries in North America, Europe, and Asia. Infonetics helps companies develop, market, and sell products and services by providing objective analysis of end-users, service providers, and product manufacturers. Infonetics has offices in Silicon Valley, the Boston Metro Area, and London.
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Source: Infonetics Research
