A report titled State of the Optical Communications Industry: On a Path to Sustainable Profitability has been released by the market research company, LightCounting. The report studies the profitability across the optical communications industry supply chain, which showed significant improvement in 2010.
The Chief Executive Officer of LightCounting, Vladimir Kozlov stated that telecom service providers continue to invest in networking infrastructure and the profitability of optical equipment and component suppliers had improved drastically from 2007 to 2010.
The report by LightCounting outlines the important technological transitions which have made an impact on the evolution of the networks. These include the rising popularity of over the top (OTT) services, cloud computing and the rise of flat networking architecture and super datacenters, all of which require data rate optics such as 40G, 10G and 100Gbps. In addition to the transitions, the report analyzes the changing landscape of the optical module and component industry in market segments such as ethernet, SONET/SDH, fibre channel, FTTx and WDM. The report also sheds light on the growing influence of Chinese optical equipment and component suppliers.