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VCSEL transceivers gear up for growth

Market analyst says that the VCSEL-based transceiver market will recover in 2003.
The market for long-wavelength VCSEL-based transceivers is on the verge of recovery, predicts a senior market analyst at Electronicast. Unit sales are predicted to reach 16 000 this year and rise to 111 000 in 2003.

"Early production deployments [of 1310 nm VCSELs] are expected by 2003, when these new VCSELs are proven reliable," said senior analyst Saba Hailu. "New transceiver designs are slated to take advantage of these components."

Hailu expects that, with time, 1310 nm VCSELs will become more widely used in singlemode transceivers for Gigabit Ethernet and Fiber Channel applications.

"[VCSELs] will compete with low-cost Fabry-Perot edge emitters and uncooled DFB edge emitters [in transceivers]," he said. "These transceivers will not be used in new applications, [but rather] in applications where singlemode transceivers are already in use."

According to Electronicast, the VCSEL-based transceiver market grew from $245 million in 1999 to $388 million in 2000. The market then dropped to $290 million in 2001, following the telecoms downturn.

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