- Dell’oro Group Issues Latest Broadband Access and Home Network 5-year forecast Report
- Among its findings was the focus of Chinese Telcos on FTTR (fiber to space) and 50 GBPS PON implementations
- 50g is a relatively new technology and I have been surprised by the speed on which this is rolling out
China promotes its broadband infrastructure with its roll-out of 50g-Pon, a next generation fiber technology capable of delivering speeds of up to 50 Gbps (50,000 Mbps) downstream.
A recently published report from Dell’oro Group, which collects information from conversations with equipment suppliers and publicly released tender prices, projects that PON equipment income will grow from $ 10.5 billion in 2024 to $ 12.1 billion in 2029.
While this growth will largely be powered by 10 GBPs XGS Pon implementations in North America, EMEA and Cala, China’s 50G Pon implementations place it in front of the rest of the world. Last year, OMDIA predicts that China will be the only commercial market for 50g-Pon in 2024 and 2025, accounting for 93 percent of the global market and generating $ 1.55 billion in revenue in 2027.
Fiber to the room
Pon or passive optical network is a fiber optic technology that allows multiple users to share a single fiber connection using passive optical splitters. This design reduces the need for active electronic components between the provider and end users, lowers infrastructure costs, reduces power consumption and improves network efficiency.
The standard of 50 G-Pon-T supports theoretical speeds of up to 50 GBPs downstream and up to 25 GBPs upstream, although the current real distribution in the China-led by China Telekom, its regional branch Shanghai-Telekom and ZTE typical gives 10 10 10 GBPS ALL-OPTICAL Access.
In addition to 50G pon, China is also expanding fiber to space (FTTR), which expands fiber optic connection to individual rooms within homes and businesses. Unlike traditional fiber-to-home (FTTH) setups that typically supply fiber to a central modem and then rely on Ethernet or Wi-Fi for distribution, brings FTTR fiber optic cables directly to each room, ensuring faster speeds, lower latency and more stable connections.
Other highlights from Dell’oro Group’s report include that the revenue in favor of cable management of access equipment will peak at $ 1.3 billion in 2028, as operators continue Docsis 4.0 and early fiber installations.
Fixed Wireless CPE is expected to reach its highest revenue in 2025 and 2026, powered by 5G sub-6 GHz and millimeter wave units, while Wi-Fi 7 housing routers and broadband CPE with WLAN is expected to generate $ 8.9 billion in 2029 as the adoption grows among consumers and service providers.
“Quietly, broadband access networks develop for large -scale edge computers platforms with the ability to enable the service converter much faster and easily than ever before,” said Jeff Heynen, vice president of Dell’oro Group.
“This development means that the revenue mix for broadband equipment will change over the next five years, with the cost of traditional hardware and software, now supplemented by spending on AI and machine learning tools to facilitate convergence and service reliability.”
