Dell’Oro: Broadband access equipment sales drop 15% in Q1

Total global revenue for Broadband Access equipment dropped to $2.5 billion, down 15 percent year-over-year (Y/Y) from 1Q 2019, according to a new report from Dell'Oro Group. The first quarter activity, which is seasonally slow to begin with, was hurt by supply chain disruptions throughout Asia-Pacific as a result of the COVID-19 pandemic.

“The first half of 2020 will give way to a sustained rebound in broadband equipment spending in the second half of the year,” said Jeff Heynen, Senior Research Director, Broadband Access and Home Networking. “The need to expand residential broadband speeds and availability will ultimately win out over the current macroeconomic slowdown,” explained Heynen.

Following are additional highlights from the 1Q 2020 Broadband Access Quarterly Report:

• Total cable access concentrator revenue decreased 22 percent Y/Y to $211 M, driven by a slowdown in CCAP license purchases in North America.
• Total DOCSIS 3.1 CPE shipments remained strong and increased to 5.8 M, representing 67 percent of total Cable CPE shipments.
• Total PON ONT unit shipments decreased 15 percent Y/Y, as new installations were limited by the pandemic.

http://www.delloro.com