Cable network equipment market slips in the first quarter
| 02 June 2014
The combined global CMTS, converged cable access platform (CCAP) and edge QAM market slipped 6% in the first quarter of 2014 from the previous year to $332 million even as more units sold, according to Infonetics Research.
"In a dramatic shift, the vast majority of cable operator spending in the first quarter of 2014 went toward new CCAP equipment instead of the bedrock of cable broadband, CMTS," said Jeff Heynen, principal analyst for broadband access and pay-TV at Infonetics Research. "Cable operators are on a steady path of adding significant channel capacity as part of DOCSIS 3.0, IP video, business service, carrier Wi-Fi, and forthcoming DOCSIS 3.1 rollouts."
Nowhere is the shift to CCAP being felt more acutely than in the North American market, where quarterly revenue dropped 13% despite CMTS and CCAP channel shipments jumping overall by 20%.
Overall, it was another record quarter for CMTS and CCAP channel shipments, owing mainly to a 229% sequential jump in CCAP channel shipments worldwide. CCAP revenue jumped 177% sequentially in 1Q14, while CMTS revenue dropped 76%.
Arris took over the lead for worldwide CMTS and CCAP revenue in 1Q14; Cisco finished second
Casa Systems had another strong quarter, increasing revenue by 13%.