Light Reading

Modem Shipments Eclipse Old Record

Alan Breznick
9/7/2007
50%
50%

Combined worldwide shipments of cable data and voice modems surged well past the 16 million unit mark during the first half of the year, easily setting a new record for the cable industry.

According to the latest compilation of figures by Heavy Reading, cable equipment makers shipped nearly 16.4 million Docsis cable modems, embedded multimedia terminal adapters (E-MTAs), and integrated gateways over the first six months of 2007. That represents a 19.5 percent jump from the 13.7 million total Docsis devices that cable tech vendors shipped during the corresponding period of 2006.

E-MTAs, which integrate cable data modems with PacketCable IP phone adapters, led the way again in the first two quarters, thanks to steadily rising demand for the combined voice/data devices. As cable operators in the U.S., Canada, and the rest of the world ramped up their rollouts of VOIP service, global voice modem shipments rose to more than 7.4 million units, up 38.9 percent from nearly 5.4 million units in the first half of 2006.

Due to such robust growth, E-MTAs accounted for an impressive 45.4 percent of all Docsis device shipments by the leading cable tech vendors in the first two quarters. That's up from a 39.1 percent share for the same period a year earlier.

Worldwide shipments of data-only cable modems also climbed a bit over the first two quarters of the year, albeit much more modestly than E-MTA shipments. Cable equipment makers shipped close to 8.6 million data modems in the first six months of 2007, up just 2.5 percent from more than 8.3 million modems in the first half of last year.

Arris Group Inc. (Nasdaq: ARRS), which took over first place in the rapidly growing E-MTA category in 2005, widened its edge over previous category leader Motorola Inc. (NYSE: MOT) even as both companies boosted their shipment numbers sharply. Arris reported shipping nearly 3.5 million voice modems in the first half of the year, up from more than 2.1 million in the first two quarters of 2006. As a result, the firm captured 46.5 percent of the E-MTA market, up from 40.1 percent the year before.

Motorola fell further behind Arris in the worldwide E-MTA rankings, even though it also boosted its unit shipments markedly. Moto shipped 2.0 million voice modems in the first half of the year, up from nearly 1.6 million units in the first half of 2006. But, due to Arris's strong growth, Moto's market share actually slipped to 27.0 percent, down from 29.2 percent last year.

Third-place Scientific Atlanta experienced a weaker first half in E-MTA sales, causing it to lose more ground to both Arris and Motorola. SA shipped more than 1.0 million voice modems in 2007, down from more than 1.1 million units in 2006. Consequently, its market share plummeted to 14.0 percent, down from 20.8 percent the year before.

Table 1: Top E-MTA Suppliers in 1H07

 Vendor   E-MTAs   Market Share 
Arris 3,456,745 46.5%
Motorola 2,005,000 27.0%
Scientific Atlanta 1,042,480 14.0%
Thomson 494,212 6.7%
Ambit 213,299 2.9%
Other 220,000 3.0%
Total 7,431,736 100.0%
Source: Company reports, Heavy Reading estimates




Although E-MTAs generated most of the market's overall growth, data-only modems still accounted for slightly more than half of the Docsis devices shipped during the first six months of the year. The nearly 8.6 million cable modems made up 52.3 percent of the total Docsis gear market, down markedly from 60.9 percent a year earlier.

Motorola continued to dominate the traditional cable modem market, maintaining a wide lead over its closest pursuers. Moto reported shipping nearly 3.3 million cable modems globally in the first half, commanding a 38.0 percent market share, down from 43.7 percent a year earlier.

As Motorola's biggest rival, Scientific Atlanta gained some ground on the leader but remained a distant second in the cable modem rankings. SA shipped nearly 1.8 million modems in the first two quarters, earning itself a 20.5 percent share, up from 15.7 percent a year earlier.

Ambit Broadband came in a strong third in the rankings as it also closed the gap a bit with Motorola. Ambit shipped almost 1.4 million data modems over the first six months, carving out a 16.0 percent share, up from 13.6 percent in 2006.

Table 2: Top Cable Modem Suppliers in 1H07
 Vendor   Cable Modems   Market Share 
Motorola 3,254,000 38.0%
Scientific Atlanta 1,758,435 20.5%
Ambit 1,368,818 16.0%
Thomson 830,263 9.7%
Arris 267,424 3.1%
Other 1,080,000 12.6%
Total 8,558,940 100.0%
Source: Company reports, Heavy Reading estimates




Adding up both data-only modems and E-MTAs, Motorola maintained its dominance over the first half of the year. But Arris scooted past Scientific Atlanta for second place in the overall Docsis device rankings.

Hitting a new high, Motorola shipped more than 5.5 million data and voice modems in the first half, up from 5.2 million in 2006. As a result, Moto captured 33.9 percent of the market, still well ahead of its rivals although down from its 38.0 percent share a year earlier.

Arris, making the most of its soaring E-MTA sales, posted its strongest overall showing yet in the first half. Arris shipped a total of 3.7 million Docsis devices, up from 2.3 million units the year before. Thus, its overall market share rose to 22.8 percent, up from 17.1 percent in 2006.

Despite a healthy hike in total units shipped, Scientific Atlanta slumped back to third place in the overall Docsis device rankings after wresting away second place from Arris last year. SA shipped nearly 2.9 million data and voice modems in the first half, up sharply from 2.4 million units in 2006. But its worldwide market share stayed even at 17.7 percent because of the rival gains by Motorola and, especially, Arris.

Table 3: Total Docsis Device Shipments in 1H07
 Vendor   Docsis Devices   Market Share 
Motorola 5,545,000 33.9%
Arris 3,724,169 22.8%
Scientific Atlanta 2,891,719 17.7%
Ambit 1,582,117 9.7%
Thomson 1,324,475 8.1%
Other 1,300,000 7.9%
Total 16,145,363 100.0%
Source: Company reports, Heavy Reading estimates




— Alan Breznick, Senior Analyst, Heavy Reading

(0)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
Educational Resources
sponsor supplied content
Educational Resources Archive
From The Founder
Light Reading sits down at CES with the head of Cisco's service provider video business, Conrad Clemson, to discuss how NFV and cloud security relate to video, the challenge of managing 4K/8K traffic, the global expansion of Netflix and virtual reality.
Flash Poll
Live Streaming Video
CLOUD / MANAGED SERVICES: Prepping Ethernet for the Cloud
Moderator: Ray LeMaistre Panelists: Jeremy Bye, Leonard Sheahan
LRTV Custom TV
Join Us at the Digital Operations Transformation Summit

2|4|16   |   03:52   |   (0) comments


The Digital Operations Transformation Summit on February 21, 2016 at the Crowne Plaza Barcelona Fira Centre will bring together 50 senior executives to engage in a unique debate on the opportunities and challenges presented by the transformative evolving digital landscape. RSVP now at events@lightreading.com.
LRTV Custom TV
Making the Test: ADVA Ensemble Connector vs. Open vSwitch

2|4|16   |   01:28   |   (0) comments


Light Reading, in partnership with EANTC, recently tested ADVA's Ensemble Connector, which replaces open vSwitch and offers carrier-grade capability and interoperability. The test results strengthen ADVA's credibility as a provider in the virtualization space.
LRTV Custom TV
Bridging the Gap Between PoCs & Deployment in NFV

2|4|16   |   31:50   |   (0) comments


Charlie Ashton of Wind River presents the keynote at Light Reading's 2020 Vision executive summit in Dublin.
Between the CEOs
CEO Chat With Mike Aquino

2|3|16   |   17:34   |   (0) comments


The former CEO of Overture Networks, Mike Aquino, discusses why truly open virtualization solutions provide service providers with the greatest choice.
Shades of Ray
MWC: Buckle Up for 5G & the IIoT

2|2|16   |   02:28   |   (0) comments


This year's Mobile World Congress looks set to be a 5G land grab and a chance to get down and dirty with the Industrial Internet of Things (IIoT) – but what will the 5G discussions actually be about?
LRTV Custom TV
Case Study: Building China's Next-Gen TV Networks

2|2|16   |   5:01   |   (0) comments


With over 2 billion viewers worldwide, Shenzhen Media Group is one of China's largest content producers. By partnering with Huawei and Sobey, SZMG was able to modernize media operations with the Converged News Center, a production studio that is a model for next-generation workflows.
LRTV Custom TV
Quad Channel Modulator Driver with 46 Gbaud Capability from MACOM

1|28|16   |     |   (0) comments


MACOM's MAOM-003427 is the industry's first surface-mount modulator driver with 46 Gbaud capability to support next generation 200G and 400G applications.
LRTV Custom TV
Video Infographic: Validating Cisco's NFV Infrastructure

1|26|16   |   02:24   |   (1) comment


We all know that the network of the future will be virtual, but when will virtual become a reality? This video infographic covers the four key areas in which Light Reading, in partnership with EANTC, tested Cisco's NFV infrastructure: performance, reliability, multi-service capabilities and single pane of glass management.

For the full report, see

Between the CEOs
CEO Chat With Phil McKinney, CableLabs

1|22|16   |   13:36   |   (1) comment


At CES in Las Vegas, we met with Phil McKinney, CEO of CableLabs. Phil provides an update on the rollout of DOCSIS 3.1, his views on the future of open source and how consumer interest in virtual reality could affect network traffic.
Between the CEOs
Ericsson CTO on the Changing Telecom Market

1|21|16   |   10:26   |   (0) comments


At CES 2015, CTO of Ericsson, Ulf Ewaldsson, sits down with CEO of Light Reading, Steve Saunders, to discuss the changing telecom market, the new partnership with Cisco and the future of the telecom industry.
LRTV Interviews
Ireland's Data Dream

1|21|16   |   14:31   |   (0) comments


Host In Ireland president Gary Connolly tells Light Reading's Steve Saunders about the role Ireland is playing in hosting data for the world's largest organizations.
LRTV Custom TV
Brocade Keynote: Transitioning to the New IP

1|20|16   |   27:23   |   (0) comments


At 2020 Vision in Dublin, Andrew Coward, VP of Service Provider Strategy at Brocade, presents the transition to the New IP.
Upcoming Live Events
March 10, 2016, The Cable Center, Denver, CO
April 5, 2016, The Ritz Carlton, Charlotte, NC
May 23, 2016, Austin, TX
May 24-25, 2016, Austin Convention Center, Austin, TX
All Upcoming Live Events
Infographics
Cisco's latest VNI numbers suggest the world will be using 366.8 exabytes of data on smartphones and Internet of Things devices, up from 44.2 exabytes, in 2015.
Hot Topics
Alphabet Is Serious About Google Fiber
Mari Silbey, Senior Editor, Cable/Video, 2/1/2016
Did Juniper Pay 'Peanuts' for BTI?
Mitch Wagner, West Coast Bureau Chief, Light Reading, 2/2/2016
Google's 5G Radio Ambitions Are Expanding
Dan Jones, Mobile Editor, 2/5/2016
How Data Center Outsourcing Fuels AT&T NetBond Growth
Carol Wilson, Editor-at-large, 2/3/2016
3.5GHz Startup Gets $22M for Small Cells
Dan Jones, Mobile Editor, 2/2/2016
Like Us on Facebook
Twitter Feed
Webinar Archive
BETWEEN THE CEOs - Executive Interviews
The former CEO of Overture Networks, Mike Aquino, discusses why truly open virtualization solutions provide service providers with the greatest choice.
As anyone who knows me will tell you, I like to think I know a fair bit about this next-gen-comms malarkey, but there's nothing like an interview with one of the ...
Animals with Phones
Happy Groundhogs for Technology Day! Click Here
Live Digital Audio

Broadband speeds are ramping up across Europe as the continent, at its own pace, follows North America towards a gigabit society. But there are many steps to take on the road to gigabit broadband availability and a number of technology options that can meet the various requirements of Europe’s high-speed fixed broadband network operators. During this radio show we will look at some of the catalysts for broadband network investments and examine the menu of technology options on offer, including vectoring and G.fast for copper plant evolution and the various deployment possibilities for FTTH/B.