Ovum: Follow the wireline money

Overall, the current wireline market would not appear to sit well on a weak stomach. Some segments of the market--like the traditional voice business--aren't as much fun as they used to be, and even broadband access growth will soon begin to slow. The wireline industry also has aggressively consolidated, and an aftershock of that consolidation is less overall capital spending by wireline carriers.

But, that doesn't mean spending is entirely scarce. A new report from Ovum suggests carrier capex is alive and well in areas like optical. Also, while an M&A player like AT&T may be spending less for now, growing indepedents may be spending more. For equipment vendors, that means go forth and diversify if you haven't already, and hopefully for your sake, you have. Take a look at the independent telcos, the smart CLEC survivors (see story above) and international markets. AT&T can afford to wait. Can you?

For more:
Red Herring covers the Ovum report

Suggested Articles

Telco Systems announced that it has achieved a performance milestone in the development of a full Open vSwitch data path hardware offload solution.

GBI is using Nuage Networks' SD-WAN technologies to connect branch locations to both public and private clouds in the Middle East and Africa.

For the first time, Huawei has put some numbers behind the impact that the U.S. ban is having on its bottom line.