The global Carrier Ethernet access platform (CEAP) market grew 38 percent, from US$1.06 billion in 2009 to $1.46 billion in 2010, according to Heavy Reading¡¯s newly published CEAP Quarterly Market Tracker. The market climbed 10 percent quarter-over-quarter in the fourth quarter of 2010 and has been up sequentially in six out of the last seven quarters. Growth is being driven by deployments related to increasingly popular Ethernet business connectivity, mobile backhaul, DSLAM backhaul and other applications. An estimated 650-plus service providers and other companies worldwide have deployed CEAP platforms.
The CEAP market tracked by Heavy Reading consists of several next-generation equipment sub-segments: (1) Ethernet-over-fiber switch/intelligent demarcation platforms; (2) Ethernet-over-bonded copper pair (G.shdsl.bis and MIMO on DTM) platforms; and (3) Ethernet-over-TDM access circuit platforms. We currently do not include estimates for revenue generated from Ethernet-over-PON, Ethernet-over-wireless, or Ethernet-over-DSL products.
All CEAP categories posted quarter-over-quarter growth in the fourth quarter of 2010, but E-o-fiber access sales were particularly strong following softness in the previous quarter. E-o-fiber platform sales grew at 12 percent sequentially, followed by E-o-TDM access platform sales (up 3 percent sequentially) and E-o-bonded copper pair platform sales (up 1 percent sequentially).
I frequently see a lot of network solutions providers claiming to be Carrier Ethernet access platform leaders, so I would like to walk readers through our latest view of the top players.
The overall CEAP leadership picture is complicated a bit by this week¡¯s news regarding the merger of Overture Networks and Hatteras Networks. The new Overture Networks appears to have a legitimate claim to be the No. 1 overall CEAP supplier when one considers the combined estimated 2010 revenues of Overture and Hatteras. The private companies have closely guarded their sales figures, so it is difficult for outsiders to know for sure.
If we consider market leadership prior to the news of the Overture-Hatteras merger, this is what we see for the overall CEAP market and its three sub-segments for 2010:
- For the overall CEAP market in 2010, Ciena slightly edged Cisco and Huawei for the top spot. This is due to Ciena¡¯s explosive E-o-fiber access platform sales in in the first half of the year that were fueled primarily by mobile backhaul applications. The share difference among these three players was less than 1 percent for the year.
- For the Ethernet-over-bonded copper pair segment, Hatteras and Adtran tied for the market lead and Actelis came in third.
- For the Ethernet-over-TDM access circuit segment, Overture had a commanding lead, followed by RAD and ANDA.
- For the Ethernet-over-fiber access platform segment, Ciena had a slight lead, followed by Cisco and Huawei.
Detailed annual and quarterly share information, market forecasts, and other information on key suppliers can be found in the Heavy Reading¡¯s CEAP Tracker.
The Light Reading audience will have the opportunity to hear from important suppliers of next-gen Carrier Ethernet access technologies during the upcoming Ethernet Europe event held in London on April 12 & 13, 2011.
¡ª Stan "EtherMan" Hubbard, Senior Analyst, Heavy Reading, and Chairman, Ethernet Europe 2011