Intelligent Optical Network Infrastructure

In this research service, Intelligent Optical Network Infrastructure, we provide ongoing analysis of developments in global markets for optical network products in the long-haul DWDM, metro DWDM, integrated packet-optical transport and optical data center interconnect categories. We also report on legacy optical transport products in the SONET/SDN, MSPP and digital cross-connect categories.

Optical network platforms are experiencing a revolution in capabilities. For example:

• Recently achieved module miniaturization has enabled higher clock speeds, which translate into higher baud rates for optical networking systems, increasing the combination of optical channel capacity and reach.
• Network system equipment vendors are responding to pressure from service providers to disaggregate optical networking lines and terminals and open up the network elements.
• A new class of optical terminal, the Compact Modular Muxponder Platform (CMMP), has arisen in today’s optical networking industry due to:
  • The higher optical channel capacities,
  • Demand for disaggregated systems and
  • The emergence of data centers as a significant source of optical networking demand.
• The industry has developed new coherent DWDM pluggable terminations which, in some applications, can substitute for separate optical transport line termination platforms.
• The industry is introducing numerous methods of network automation, which requires that the optical network be software-controlled by servers remote to the network elements. This change changes the focus of system evaluation from platform features to control software capabilities.

The Intelligent Optical Network Infrastructure research program adds analysis of these recent (and evolving) advances in optical networking to the traditional analysis of developments in global markets for optical transport products. This combined analysis includes:

• Evaluation of the drivers of optical network equipment deployment,
• The dynamics of the current optical networking marketplace,
• The technological evolution of optical network platforms and systems,
• Forecast of the direction of the optical networking marketplace and
• Recommendations for service providers and equipment vendors.

Segmentation

Definitions & Product Mapping

There really are two major optical markets:  a legacy low-speed market that is declining year-over-year and a high speed optical (HSO) market that is growing. HSO can be further segmented into long-haul and metro with metro being the summation of Metro WDM and POTS. As equipment suppliers build and adapt their products to span multiple optical networking segments, there is a definite blurring of segmentation.  LH products are being adapted with lower-cost optics with multiple chassis form factors while metro oriented products are being augmented with longer-reach, higher performance optics and coherent modulation technology to extend distances beyond 600km. 

LONG HAUL DWDM: Long haul optical networking involves those DWDM products that are designed for 600km or greater transmission distances. Today’s long haul networking products can generally reach many thousands of kilometers with 100G+ wavelengths.   

METRO WDM: Metro optical networking includes WDM/DWDM products designed for less than 600km transmission distances.  Modern metro networks are dominated by 10G wavelengths with migration to 100G+ wavelengths under way.

PACKET OPTICAL TRANSPORT (POTS): The category of is one of the newer optical networking segments.  The POTS segment was created to track those products with converged packet switching and metro optical networking.  Packet switching may include native Ethernet as well as OTN switching or a combination of the two with a universal switch fabric.  MPLS transport technology may also be included in this class of products.  The POTS category tends to be North American dominant as the North American service providers embraced the convergence of Layer 1 and 2 technologies more than international operators which have tended to utilize optical networking equipment at Layer 0/1 only.  

MUPTI-SERVICE PROVISIONING PLATFORM: The MSPP market segment was used to connect local networks to service provider’s optical backbones.  The products generally enable Ethernet over SONET/SDH transmission where Ethernet exists in the LAN while SONET/SDH exists in the backbone network.  Ethernet traffic is mapped to the SONET/SDH container hierarchy. 
 
OPTICAL CROSS CONNECTS (OXC):These are from the SONET/SDH era. A common use for an OXC is to map lower-speed SONET/SDH signals (like DS1) into higher speed SONET/SDH signals (e.g. DS3/OC3/STM-1).  OXCs remain in the network today, but given their age are targeted for migration out of the network in coming years. 
 
SONET/SDH: Other legacy SONET/SDH equipment that does not fit the MSPP or OXC category.  

Service Deliverables

• Forecasts of worldwide product uptake and revenues are provided twice annually, in the 1^st and 3^rd calendar quarters.
• Quarterly analyses of vendor market share plus the most significant industry announcements and developments are supplied.
• Quantitative table and qualitative documents and presentations are supplied.
• Information exchange with our team in advance of the delivery of reports and review/discussion time subsequent to their delivery are available and provided as desired.
• Additional time for discussion and exploration of specific topics in detail can be arranged as an optional retainer or add-on to the syndication.

For a briefing or more information, contact Rick Talbotatrtalbot@acgcc.com.