Converged cable access shipments hit record high

Jane Wolfe | 03-03-2014

The fourth quarter of 2013 marked the highest number of combined CMTS and converged cable access platform (CCAP) upstream and downstream DOCSIS channel shipments on record, according to Infonetics Research.

The leap in shipments, said the analyst, owed largely to a 192% sequential jump in CCAP channel orders, yet despite an 11% revenue bump in the quarter the combined worldwide CMTS, CCAP and edge QAM market was down 8% in 2013 from the previous year, dropping to $1.3 billion. CMTS channel price erosion in the early part of 2013 was the primary reason for the revenue decline, notwithstanding record levels of CMTS and CCAP channel shipments.

"The pent-up demand for new CCAP-capable equipment is evident in the early volume deployments of CCAP gear, and we expect the upward trend in combined CMTS and CCAP channel shipments to continue as operators prepare their networks for DOCSIS 3.1 and potential remote physical layer architectures," noted Jeff Heynen, principal analyst for broadband access and pay-TV at Infonetics Research.

Harmonic is the edge QAM revenue leader in 4Q13 and for the full year 2013. Cisco and Arris led in CCAP.

"Casa Systems had an outstanding fourth quarter shipping CCAP equipment globally, but it wasn't enough to overtake perennial leaders Cisco and Arris," Heynan said. "However, these vendors should now be on notice, as Casa's made inroads and will continue to make this market more dynamic."

Infonetics forecasts the combined market to return to growth: global CMTS, CCAP, and edge QAM market to reach $1.7 billion in 2018, a five-year compound annual growth rate of 5% from 2013-2018.