Residential gateway market continues to grow at a rapid pace

Monday, December 8th, 2014 
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Broadband CPE Shipments to Reach 151.9 Million, Underpinned by Residential Gateways

SINGAPORE — Worldwide broadband customer premise equipment (CPE) shipments are expected to reach 151.9 million by the end of 2014. “The residential gateway segment continues to grow at a rapid pace: ABI Research expects global shipments will grow more than 9% in 2014,” comments Jake Saunders, VP and Practice Director.

Although DSL and cable CPE device shipments still dominate the market, DSL and cable shipments are likely to drop slightly in 2014, due to slow subscriber net additions. However, as subscribers continue to switch to more advanced broadband access, VDSL and DOCSIS 3.0 device shipments continue to grow robustly.“North America and Europe are the regions with the highest VDSL device penetration. This is because operators in Western Europe are upgrading DSL infrastructure with VDSL and VDSL vectoring technologies. Total VDSL CPE shipments in the two regions account for around 50% of worldwide VDSL CPE shipments,” adds Khin Sandi Lynn, Industry Analyst.

DOCSIS 3.0 devices dominate the cable CPE market: ABI Research expects shipments will grow 11% in 2014, representing nearly 85% of total cable CPE shipments.

The expansion of the fiber-optic broadband subscriber base is a key driver of the rapid growth in fiber-optic CPE shipments. In 2014, fiber-optic CPE shipments are likely to grow around 16% YoY from 2013, reaching 41 million. ZTE has the top position in the fiber-optic CPE device market in 3Q 2014, followed by Huawei. ZTE also has the top ranked position in the overall broadband CPE market. ARRIS owns the second largest market share in the overall broadband CPE market, followed by Huawei.

ABI Research’s Broadband CPE: Cable, DSL, Fiber Market Data covers worldwide CPE for wired broadband.The report tracks equipment by product type that includes modems, routers, gateways, and ONT’s. The report also provides market shares of leading CPE manufacturers worldwide based on quarterly shipment data.

These findings are part of ABI Research’s Broadband CPEMarket Research.