Arris Leads DOCSIS 3.0 CPE Race - Analyst Blog
December 01 2011 - 3:45AM
Zacks
According to a recent report of
Dell’Oro Group, Arris Group Inc. (ARRS) shipped
majority of customer premises equipments (CPE) for cable TV
industry, which are DOCSIS 3.0 (Wideband) enabled. The DOCSIS 3.0
CPE market is intensely competitive as large broadband gear makers,
such as Cisco Systems Inc. (CSCO) and Motorola
Mobility Holdings Inc. (MMI) are major players. Besides, small
sized gear makers such as Technicolor S.A. and Ubee Interactive
also competes in this market.
Dell’Oro's reports shows 43% of the
total CPEs shipped in the third quarter of 2011 were DOCSIS 3.0
enabled. This was an increment of nearly 100% year over year. In
the previous quarter, Arris shipped over 1.4 million CPEs. Out of
this, nearly 53% devices were DOCSIS 3.0 enabled compared with 36%
in the prior-year quarter. Total CPE market value was approximately
$333 million in the previous quarter.
Arris has a strong pipeline of CMTS
CPE products, including a series of next-generation high-capacity
head-end and terminal equipment solutions. The company is also
expanding its portfolio of residential products to integrate home
networking options for voice, data, and video applications.
Intense competition among cable
operators, satellite carriers and telecom service providers for
broadband market share has forced the cable MSOs to opt for cost
effective bandwidth while boosting the technology for high-speed
network. DOCSIS 3.0 is a digital channel bonding technique that
creates one larger and faster logical pipe to support throughput of
at least 100 Mbit/second.
Cable TV operators are gradually
standardizing their respective networks with DOCSIS 3.0 enabled
CPEs even if the customer is reluctant to subscribe to wideband
network. In U.S., cable TV operators will complete 77% of DOCSIS
3.0 deployment. This positive trend coupled with a decline of
DOCSIS 3.0 CPE devices and growing popularity of integrated
residential wireless gateways are the main reasons for the
significant growth of CPE devices, which support DOCSIS 3.0
technology.
ARRIS GROUP INC (ARRS): Free Stock Analysis Report
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MOTOROLA MOBLTY (MMI): Free Stock Analysis Report
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