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Analysis and Forecast of Chinese Optical

Analysis and Forecast of Chinese Optical Communication Market

In 2006, the global optical communication market developed in a stable way, which is reflected by more than 20% overall increase in several areas of the optical communication industry, involving glass fiber, optical network hardware and FTTH.

In 2006, the capital investment of operators increased continuously to US??216.2 billion, up 14.6% year-on-year. In terms of expenditures, operators in Europe, Asia-Pacific region as well as North America respectively account for 35.6%, 31.8% and 32.6%. This result is largely attributed to continuous demand of bandwidth and newbroad band application by subscribers, leading to the investment surge upon networks improvement and new networks construction by operators.

In terms of system equipment suppliers, sales revenue of most manufacturers gained steady growth. Simultaneously, for most equipment manufacturers, profits remained unchanged even if sales revenue went up drastically. In addition, part of equipment manufacturers was suffering a lot following restructuring in the industry.

Over 2005~2006, the global optical device market had a stable upward trend as a whole. In 2006, the global optical device market reached US??3.7 billion, up 20% year-on-year. At present, the growing demand in the field of optical device attracts a substantial investment influx. It is expected that by 2010, the global optical device market revenue will have reached US??4.8 billion.
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