& cplSiteName &

Cable Modem Shipments Growing Strong

Alan Breznick

Combined worldwide shipments of cable data and voice modems climbed above the 8 million-unit mark again in the third quarter, as MSO demand remained robust for both types of devices.

In the latest compilation of figures by Heavy Reading, the leading cable equipment manufacturers shipped nearly 8.2 million Docsis cable modems, embedded multimedia terminal adapters (E-MTAs), and integrated gateways during the July-to-September 2007 quarter. That represents a 10.5 percent jump from the nearly 7.4 million Docsis devices that were shipped during the corresponding period of 2006.

Not too surprisingly, E-MTAs, which combine cable data modems with PacketCable IP phone adapters, led the way upwards again, as cable operators continued to ramp up their rollouts of VOIP services. Global voice modem shipments rose to nearly 3.7 million units in the summer quarter, up 18.3 percent from the year-ago period.

Thanks to this strong increase, E-MTAs accounted for a hefty 44.8 percent of all Docsis device shipments by the top cable technology vendors in the quarter. That's up a touch from 42 percent in the year-ago period.

But surprisingly, data-only modems held their own once more in the third quarter, despite the soaring demand for integrated data-and-voice service. Shipments of the more traditional cable modems climbed to more than 4.4 million units, up 3.9 percent from the summer of 2006, thanks largely to a strong performance by Motorola Inc. (NYSE: MOT).

Arris sets E-MTA record
Arris Group Inc. (Nasdaq: ARRS), which has ruled the rapidly growing E-MTA sector since 2005, widened its already sizeable edge over previous category leader Motorola as it easily set a new quarterly high for voice modem shipments. For the first time, Arris reported shipping close to 2 million E-MTAs worldwide, up about 50 percent from a year ago. As a result, it captured an impressive 53.8 percent of the worldwide market, up from 42.5 percent a year ago.

Motorola kept its hold on second place in the worldwide E-MTA rankings despite lower unit shipments in the third quarter. Motorola shipped 719,000 voice modems in the period, down 10.1 percent from the same quarter of 2006. Due to this decrease and Arris's sharp increase, Motorola's market share sank to just 19.8 percent, well down from 25.9 percent a year ago.

Like Motorola, the Scientific Atlanta subsidiary of Cisco Systems Inc. (Nasdaq: CSCO) suffered slumping E-MTA shipments in the summer quarter. Scientific Atlanta shipped 528,148 voice modems in the quarter, down 21.5 percent from a year ago. Accordingly, its market share plunged to 14.4 percent, down from 21.8 percent in summer 2006.

Table 1: Top E-MTA Suppliers in 3Q07

Vendor E-MTAs Market Share
Scientific Atlanta
Source: Company reports, Heavy Reading estimates

Moto motors along on data front
Even with the continuing growth of E-MTAs, purely data modems still accounted for more than 55 percent of the category total. Motorola continued to rule the roost here, shipping more than 1.9 million data-only devices, up 28.5 percent from the prior year. With a market share of 43.4 percent, Motorola shipped nearly twice as many modems as any other vendor.

Scientific Atlanta maintained its strong hold on second place despite a slight year-over-year drop in modem shipments. The Cisco subsidiary shipped close to 1 million data devices in the third quarter, down a slight 2 percent from the summer of 2006. As a result, its market share slipped to 23.4 percent.

Similar to Scientific Atlanta, Ambit Microsystems Corp. held onto third place despite a relatively small decline in modem shipments. Ambit shipped more than 600,000 data devices in the third quarter, down 7.8 percent from its year-ago totals. Accordingly, its market share slid to 14.3 percent.

Table 2: Top Cable Modem Suppliers in 3Q07
Vendor Cable Modems Market Share
Scientific Atlanta
Source: Company reports, Heavy Reading estimates

Moto still takes Docsis crown
Despite Arris's growing domination of the E-MTA market, Motorola clung to its lead in the overall Docsis device business globally, thanks mainly to its continued domination of the data-only modem business. Overall, Motorola shipped more than 2.6 million Docsis devices in the quarter, up 15.1 percent from the year-ago period. As a result, it maintained a leading 32.4 percent market share, up slightly from 31.2 percent last year.

Riding the wave of its E-MTA success, Arris came in a strong second place in the overall vendor rankings, widening its edge over the slumping Scientific Atlanta. Arris shipped a total of almost 2.1 million data and voice modems in the third quarter, up 45.8 percent from the summer of 2006. Thanks to this surge, Arris's global market share climbed to 25.4 percent, up from 19.3 percent last year.

Scientific Atlanta remained stuck in third place in the overall Docsis device standings, after wresting second place away from Arris last year. The Cisco subsidiary shipped a combined total of almost 1.6 million data and voice modems in the third quarter, down 6.9 percent from the prior year. Consequently, its market share slipped to 19.2 percent, down from 22.9 percent a year ago.

Table 3: Total Docsis Device Shipments in 3Q07
Vendor Docsis Devices Market Share
Scientific Atlanta
Source: Company reports, Heavy Reading estimates

– Alan Breznick, Senior Analyst, Heavy Reading

(0)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
Light Reading’s Upskill U is a FREE, interactive, online educational resource that delivers must-have education on themes that relate to the overall business transformation taking place in the communications industry.
Wednesday, November 9, 1:00PM EST
MANO 101
Toby Ford, AVP, Cloud Technology, Strategy & Planning, AT&T
Friday, November 11, 1:00PM EST
Open Source for NFV MANO
Wednesday, November 16, 1:00PM EST
SDN 101
John Isch, Practice Director, Network & Voice, Orange Business Services
Friday, November 18, 1:00PM EST
SDN & Open Source
Christopher W. Rice, Senior Vice President of AT&T Labs, Domain 2.0 Architecture and Design
in association with:
From The Founder
Light Reading today starts a new voyage as part of a larger Enterprise.
Flash Poll
Live Streaming Video
Charting the CSP's Future
Six different communications service providers join to debate their visions of the future CSP, following a landmark presentation from AT&T on its massive virtualization efforts and a look back on where the telecom industry has been and where it's going from two industry veterans.
LRTV Custom TV
OneAccess NFV Solutions

10|26|16   |   5:30   |   (0) comments

Antoine Clerget, CTO of OneAccess, discusses how his company has expanded its product line from enterprise-class routers to include a universal virtualized CPE as well as a suite of VNFs to help telco customers evolve to an NFV future.
LRTV Custom TV
The Journey Toward Carrier-Grade WiFi

10|26|16   |   3:39   |   (0) comments

In this Light Reading interview, Dave Sperling, CTO at Smith Micro Software and active participant of the WBA's policy working group, discusses the need for carrier-grade WiFi. Technical and business challenges slowing the fulfillment of this goal are addressed, as well as management strategies that will enable communication service providers to optimize end user ...
LRTV Custom TV
ZTE BBWF Highlights

10|26|16   |     |   (0) comments

At BBWF 2016, ZTE showed a broad range of innovative technologies that are kick-starting an ultrafast broadband journey.
LRTV Custom TV
Next-Generation Technology Beyond DOCSIS 3.1

10|20|16   |     |   (0) comments

At SCTE 2016, Huawei's Liu Jianhua speaks with Alan Breznick for an exclusive interview.
LRTV Custom TV
Hybrid Video Solutions to Change TV, Change Future

10|20|16   |     |   (0) comments

At SCTE 2016, Huawei's Ian Locke speaks with Alan Breznick for an exclusive interview.
LRTV Custom TV
Huawei Future-Oriented Giga Coax Network

10|20|16   |     |   (0) comments

At SCTE 2016, Huawei's Allen Wang speaks with Alan Breznick for an exclusive interview.
LRTV Custom TV
Huawei at SCTE 2016

10|20|16   |     |   (0) comments

Join Alan Breznick of Light Reading and take a sneak peek at the Huawei booth at SCTE 2016.
LRTV Custom TV
Assuring Network Quality in a Rapidly Changing Environment

10|20|16   |     |   (0) comments

As the rate of change and complexity increases in agile networks, the importance of introducing DevOps methodologies for integrating active test and assurance solutions throughout the full service lifecycle becomes critical to ensure that customers are experiencing the service quality they demand. The industry landscape is changing, and software-based test and ...
Telecom Innovators Video Showcase
A10 Networks on Service Providers' Industry Needs

10|20|16   |     |   (0) comments

Light Reading's Steve Saunders hears how A10 enables service providers to accelerate, secure and optimize their application delivery to drive down costs, enhance service availability, and better respond to customer requirements, so they can improve customer satisfaction, monetize their network, and grow revenues.
LRTV Custom TV
New NFV Use Cases for Cable TV

10|19|16   |     |   (0) comments

A large number of NFV use cases are focused on the enterprise domain, looking at virtualization of customer-premises equipment (CPE). To date, there has been little focus on the use cases and business case for virtualization of the video content delivery networks required to deliver unicast and streaming video to consumers. Amdocs commissioned Analysys Mason to ...
Women in Comms Introduction Videos
Meet the Future Workforce: New Faces, Expectations & Motivations

10|19|16   |   5:33   |   (1) comment

Millennials and their younger peers, Gen Z, expect more out of their network and more out of their work. Intel's Lynn Comp shares how the industry can prepare for this new generation of workers.
LRTV Custom TV
ZTE Global Services User Congress 2016 Highlights

10|19|16   |     |   (0) comments

ZTE held its 2nd Global Service User Conference in Dusseldorf on October 13-14. Representatives from network operators, leading industry analysts and ZTE senior expertsattended the event, exploring the best practice in managed services and the vision to transform network operations into the operations center of the future (OpCF) in the software-defined networking ...
Upcoming Live Events
November 3, 2016, The Montcalm Marble Arch, London
November 30, 2016, The Westin Times Square, New York City
December 1, 2016, The Westin Times Square, New York, NY
December 6-8, 2016, The Westin Excelsior, Rome
May 16-17, 2017, Austin Convention Center, Austin, TX
All Upcoming Live Events
Hot Topics
Trump: Dump AT&T/TW & Comcast/NBC
Alan Breznick, Cable/Video Practice Leader, Light Reading, 10/24/2016
Google Fiber Hits Pause Button, Scales Back
Alan Breznick, Cable/Video Practice Leader, Light Reading, 10/26/2016
T-Mobile: AT&T & TW Means Ma Bell Not Focused on Mobile
Dan Jones, Mobile Editor, 10/24/2016
Sprint: Revenue up 3%, Capex Will Rise Again
Dan Jones, Mobile Editor, 10/25/2016
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
Join us for an in-depth interview between Steve Saunders of Light Reading and Alexis Black Bjorlin of Intel as they discuss the release of the company's Silicon Photonics platform, its performance, long-term prospects, customer expectations and much more.
There's no question that, come 2020, 5G technology will turn the world's conception of what mobile networking is on its head. Within the world of 5G development, Dr. ...
Animals with Phones
'Oh, Were You Looking for This?' Click Here
'I was just playing some games...'
Live Digital Audio

A vital part of increasing the number of women in comms is transforming the ways companies can support and empower women. While progressive company policies that support both men and women in achieving work-life balance are a step in the right direction, creating a company culture that supports those policies can at times be more challenging.

During this show, we'll talk to Lynn Comp, Senior Director of Industry and Sales Enabling (ISE) in the Network Platforms Group at Intel, about why those challenges exist and how companies can overcome them. She'll provide insight into how Intel has worked to create a culture that supports work-life balance, and provide steps and guidance for other companies wishing to do the same. We will also leave plenty of time to get your questions answered live on the air.