Fiber Build Will Drive Up Broadband Access Equipment Revenues

PON Equipment spending, according to the Dell’Oro Group, rose 32 percent year-over-year.

  • Dell'Oro Group

REDWOOD CITY, Calif.– Total global revenue for the Broadband Access equipment market increased to $16.3 billion in 2021, up 12 percent year-over-year (Y/Y), according to the Dell'Oro Group. Growth came once again from spending on both PON infrastructure and fixed wireless CPE.

“2021 was a record year for PON equipment spending, with some of the highest growth coming from the North American market, where expansion projects and fiber overbuilds are picking up considerably,” said Jeff Heynen, Vice President, Broadband Access and Home Networking at Dell’Oro Group. “These fiber expansion projects show no signs of slowing heading into 2022.”

Additional highlights from the 4Q 2021 Broadband Access and Home Networking quarterly report:

Total cable access concentrator revenue increased 4 percent Y/Y to just over $1 billion. Steady growth in Distributed Access Architecture (DAA) deployments helps offset declines in traditional CCAP licenses.

Total PON ONT unit shipments reached a record 140 M units for the year, bucking the supply chain constraints that have dogged the cable CPE market.

Members of a House subcommittee expect provisions to expand rural broadband access will be included in the next federal farm bill. The provisions could benefit students who live in rural areas.

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