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Report: Broadband equipment spend up 5% YoY

December 10, 2024

According to a report from Dell’Oro Group, a source for market information about the telecommunications, security, networks and data centre industries, total global revenue for the Broadband Access equipment market increased to $4.6 billion in Q3 2024, up 1 per cent QoQ and 5 per cent YoY.

“Fixed wireless providers in select markets continue to take the lion’s share of new broadband customers, with a wider range of pricing tiers designed to appeal to not only their mobile customers, but also to existing Cable, DSL and Fibre subscribers,” said Jeff Heynen, Vice President with Dell’Oro Group. “As a result, Fixed Wireless CPE unit shipments posted their fifth consecutive quarter of Y/Y growth, increasing 19 per cent.”

Additional highlights from the report:

  • Total PON equipment spending was up 6 per cent from Q3 2023, driven by an 11 per cent increase in spending on PON ONTs. ONT shipments in North America surpassed the 2 million mark for the first time since Q1 2023.
  • Spending on DOCSIS infrastructure jumped 26 per cent YoY, with significant spending increases for both Remote PHY Devices (RPDs) and Virtual CMTS (vCMTS) platforms.
  • Residential Wi-Fi Router shipments were flat Y/Y, despite a 5,935 per cent increase in Wi-Fi 7 unit shipments, driven by lower-cost dual-band unit shipping in China.
  • 2025 is expected to see a rebound in spending on Broadband Access Equipment, though service providers will continue to take a measured approach to their network expansions, as interest rates are expected to remain relatively high for at least the first half of the year, pushing up the cost of capital.

Categories: Articles, Broadband, Equipment, Equipment, Markets, Research

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