Optical Modulator Market to Reach $3.7 Billion by 2011
San Mateo, Calif. According to a new study by ElectroniCast Corp., North America leads global consumption of optical modulators in 2001 with a 37.1 percent relative market share or $100.1 million. Global consumption value will increase at a pace of about 40.3 percent per year over the next five years to $1.37 billion in 2006 with rapidly rising quantity growth, substantially offset by falling average prices. Consumption value growth will continue at an average annual rate of 22.1 percent over the 2006-2011 period reaching $3.7 billion.
"Eventually the regional markets share of long haul and high data rate links will migrate to Asia from North America. The majority of the "new build" long haul/high data rate Asia links will be attributed to China," ElectroniCast President Stephen Montgomery said. Optical modulators consumed in the Japan/Pacific region will account for 38.6 percent of the global market share by 2011.
Steady consumption will be driven by continued deployment of fiber in all applications, plus the continuing demand for upgrading networks to accommodate rapidly increasing bandwidth requirements. "The main application dynamics (drivers) are optical modulators used with high-speed transmitters that are required to transmit longer distances. The actual assembly of transmitters and boards will trend to the Asian region over the forecast period," Montgomery said.
Evolution of Integration The integration of laser diodes, photo diodes, transmitter/receiver (T/R) pairs, passive optical components and other optical components has started in the lower data rate components (155 and 622 Mbps) and will expand steadily into more complex hybrid integration including data rate components. Monolithic integration will proceed with E/A-type modulators, and other elements with relatively higher incidence in higher data rate (2.5, 10 and 40 Gbps), E-O modulators will expand to higher data rates; however, the package will be limited to hybrid integration.
Modulators Used in Integration Manufacturers have started development of integration of laser diode with modulators and optical waveguide fabricated on a single die. Both E-O and E/A modulators are undergoing research and development processes. The main dynamic for the integration of modulators with other components is economics; does the packaged deliver a less costly solution. Application dynamics include smaller packages, less loss, and more control (temperature) of the single package. Competitive alternative solutions to Electro-optical (E-O) including Electro-absorptions (E/A), Indium Phosphide (InP) and Mach-Zehnder (M-Z) modulator integration and standalone solutions are being developed. Packaging is the key driver, along with the main multiple, economics. "ElectroniCast summarizes that the engineering and technology advances will be developed. However, without the cost-effectiveness of the component and a suitable package, meeting all specification and customer demands, the modulator product will not be successful. Again, the technology advancements are secondary to the packaging and cost issues," ElectroniCast Founder and Chairman Jeff D. Montgomery said.
In 2001, Electro-optical (E-O) optical modulators, typically utilizing Lithium Niobate as a base holds over 60 percent market share of global consumption. The Electro-absorption (E/A) market share will increase in relative market share over 50 percent by 2011.
The Optical Modulator Global Market and Technology Forecast is available for a charter fee of $9,850 ($12,000 fee/ payment received after December 14, 2001). Please contact Theresa Hosking, Director of Marketing/Sales at 650/343-1398; fax 650/343-1698, website: www.electronicast.com; e-mail: electronicast@msn.com, to receive more detailed information.
Media Contact:
Christian Montgomery
Cell: (650) 766-4670
E-mail: cmontgomery@electronicast.com
Sales Contact:
Theresa Hosking
Phone: (650) 343-1398 X203
E-mail: thosking@electronicast.com
Theresa Hosking
Phone: (650) 343-1398 X203
E-mail: thosking@electronicast.com
E-mail: thosking@electronicast.com
Web site: http://www.electronicast.com
