Optical Modulator Market Growth Forecast

Feb. 5, 2004
San Mateo, CA, February 11, 2004. - According to a new market study by ElectroniCast, the use of optical communication modulators used with transmitters at rates of 10 Gbps led in relative market share value with 65.2 percent at $119 million in 2003. The use of modulators in 40 Gbps communication network links began to show very small but measurable quantities in 2003, as chromatic dispersion and polarization mode dispersion problems were busily being addressed.

San Mateo, CA, February 11, 2004. - According to a new market study by ElectroniCast, the use of optical communication modulators used with transmitters at rates of 10 Gbps led in relative market share value with 65.2 percent at $119 million in 2003. The use of modulators in 40 Gbps communication network links began to show very small but measurable quantities in 2003, as chromatic dispersion and polarization mode dispersion problems were busily being addressed.

By 2008, 40 gigabits modulator use will represent about 15.5 percent of the relative global market share consumption value. "Because of the huge difference in Average Selling Prices (ASPs), the market share data differs dramatically based on unit volume," ElectroniCast President Stephen Montgomery said. "By year 2008, optical modulators use at 40 Gbps will account for just over 6 percent of the total worldwide volume," Montgomery said.

The ElectroniCast report provides a forecast and analysis on the Market of External Optical Signal Modulators. There are several types of modulators, discussed in the published report. However, in today's optical transmission systems, there are primarily two types of external modulators used extensively: "electro-optic" and "electroabsorption." In 2003, Electro-optical (E-O) optical modulators, typically utilizing Lithium Niobate (LiNbO3) as a base held a 64 percent market share of global consumption. The Electroabosoprtion (E/A) market share will increase in relative market share to over 40 percent by 2008.

"ElectroniCast summarizes that the engineering and technology advances will be developed. However, the technology advancements are secondary to the packaging and cost issues," Stephen Montgomery said.

For more information, visit www.electronicast.com .

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