WDM Sales Move Ahead of SONET/SDH for the First Time Ever

Redwood City, Calif. – June 5, 2008 –
According to a newly published report by Dell’Oro Group, the trusted
source for market information about the networking and
telecommunications industries, sales of WDM systems surpassed that of
SONET/SDH multiplexers for the first time ever in the first quarter of
this year. Within the $1.4 billion WDM market, the WDM Metro segment
outperformed the DWDM Long Haul segment and grew 47 percent over the
year-ago quarter.

“With
Internet traffic growing at such high rates, service providers have to
build optical networks that can handle enormous traffic volumes today
yet can continue to scale in the immediate future,” said Shin Umeda,
Vice President of Optical Transport research at Dell’Oro Group. “WDM
systems can clearly handle those requirements more economically than
legacy SONET/SDH multiplexers. Manufacturers continue to improve the
attractiveness of WDM systems by incorporating advanced optical and
packet technologies such as ROADM, 40 Gbps, and Ethernet,” Umeda added.

The report also shows that the WDM Metro market was highly fragmented
in the first quarter, with seven vendors accounting for over 80 percent
of the market, but with none commanding more than 15 percent revenue
share. Cisco was the market leader in the first quarter, followed
closely by Alcatel-Lucent and Nortel.

About the Report

The
Dell’Oro Group Optical Transport Quarterly Report offers complete,
in-depth coverage of the market with tables covering manufacturers’
revenue, average selling prices, unit shipments Tributary/Line or
Wavelength shipments (by speed OC-3/STM-1, OC-12/STM-4, OC-48/STM-16,
OC-192/STM-64, OC-768/STM-256, and Other). The report tracks DWDM long
haul terrestrial, WDM metro, SONET/SDH, and optical switch equipment To
purchase this report, please contact Emily Kendall, call
+1.650.622.9400 x223 or email Emily@DellOro.com.

About Dell’Oro Group

As
the trusted source for market information about the networking and
telecommunications industries, Dell’Oro Group provides in-depth,
objective research and analysis that enables component manufacturers,
equipment vendors, and investment firms to make fact-based, strategic
decisions. For more information, contact Dell’Oro Group at
+1.650.622.9400 or visit www.DellOro.com.