DSL Port Shipments down 9% in 3Q07

According to Infonetics Research’s latest Broadband Aggregation Hardware and Subscribers report, worldwide DSL port shipments are down 9% in 3Q07 from the previous quarter, and overall broadband aggregation hardware revenue is down 12% to $1.4 billion.

North America is the only region that saw growth in DSL port shipments, up 14%, the report shows.

“Every region except North America saw a decrease in DSL port shipments in the 3rd quarter, after posting strong increases in ports the previous quarter,” said Jeff Heynen, directing analyst at Infonetics Research. “Service providers took a break from their rollouts this quarter to focus on adding subscribers where new infrastructure had been deployed. North American DSL subscriber additions were disappointing this quarter due to increasing competition from cable operators and more marketing money turning to FTTH offerings, among other factors, but subscriber additions will pick up again as telcos offer IPTV and bundled video services to drive consumers to their all-in-one offerings.”

Other report highlights:

IP DSLAM deployments continue to accelerate, although experiencing some softness in 3Q07; VDSL ports on IP DSLAMs jumped 46% in 3Q07, as providers around the world upgrade their networks to deliver new IP services such as VPNs, VoIP, and IPTV

The number of worldwide DSL subscribers are forecast to grow steadily each year through 2010, when it will top 318 million, despite DSL network rollout slow downs

Alcatel-Lucent continues to lead the worldwide broadband aggregation market, holding the #1 position in DSLAMs in all regions except APAC, where Huawei remains the leader

Nearly 3/4 of all broadband aggregation hardware revenue hails from EMEA and Asia Pacific together

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