Inventory correction to continue for at least one more quarter. #pressrelease
August 22, 2024
According to a recently published report from Dell'Oro Group, the trusted source for market information about the telecommunications, security, networks, and data center industries, the Optical Transport equipment market declined 19 percent year-over-year in 2Q 2024 due to an ongoing market correction caused by excess customer inventory, delays in new project starts in Asia Pacific, and weak macroeconomic conditions. The inventory correction that started in late 4Q 2023 is expected to continue for at least one more quarter.
Additional highlights from the 2Q 2024 Optical Transport Quarterly Report:
The Optical Transport market outlook for 2024 was revised downward. The current forecast is for the Optical Transport equipment market to decline 8 percent in 2024.
Every region declined year-over-year in 2Q 2024 with the exception of the Middle East and African (MEA) region. The steepest decline was in Asia Pacific across all of the countries we tracked (China, India, and Japan).
Two vendors—Huawei and Cisco—gained more than 1 percentage point of market share in 2Q 2024 compared to the year ago period. Huawei’s share gain was nearly 6 percentage points.
Read the full press release here.
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