Globally telecom operators are increasingly setting up passive optical network (PON) with the sales reaching an all time high in Q3 09. On a sequential basis the growth is 8% while on a yoy basis the growth is 6 % says Dell’Oro.

“Within the total PON market, GPON revenue growth was strongest, driven by the increasing deployments outside of North America,” says Tam Dell’Oro, President of Dell’Oro Group. “EPON revenue was also a key contributor to the third quarter’s record performance; however, EPON revenue grew at a slower pace than GPON, as rapidly growing deployments in China were partially offset by slower sales to Japan,” he adds.

In the quarter Chinese vendor Huawei is seen increasing its lead in the EPON market strongly assisted by demand from China market. It leads in the GPON segment as well due to increased sales in Asia, Europe and Middle East.

Mitsubishi takes the number 2 spot in EPON segment while Alcatel-Lucent is placed number 2 in GPON segment.