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Residential gateway revenues to reach $10 billion in 2015

Posted: 17 May 2011 ?? ?Print Version ?Bookmark and Share

Keywords:residential gateway? revenues? shipments?

The residential gateway market continues its rise in the broadband customer premises equipment (CPE) space, which is primarily due to telco providers favoring gateways over modems since gateways fulfill consumer demand and promise greater future revenue possibilities for operators. As a result, In-Stat forecasts that the residential gateway revenues will reach $10 billion in 2015.

"We define residential gateways as essentially any type of broadband modem that also includes routing and/or wireless access point capabilities," said Vahid Dejwakh, industry analyst at In-Stat.

"More and more different types of modems now also come with embedded Wi-Fi, which qualifies them as residential gateways, and many more telco service providers are supplying residential gateways instead of just DSL broadband modems. This is not only because customers request a gateway, but also to present possible future service add-ons and to increase their ability to manage their customers' networks," Dejwakh added.

According to In-Stat, the residential gateway shipments will overtake broadband modem shipments in 2014 as more and more devices incorporate Wi-Fi and routing capabilities. Worldwide fixed satellite CPE revenues are expected to pass $340 million by 2014. The fixed wireless broadband CPE is also expected to rise at the fastest pace of all access technologies, with a CAGR of about 10 percent over the next five years. Tellabs, Motorola, and Alcatel-Lucent are leaders in fiber-to-the-home CPE.

In-Stat's research, "Residential Gateways take over Broadband CPE Volume," covers broadband modems, SOHO routers, and residential gateway equipment for DSL, cable, fiber-to-the-home/premises (FTTH/P), fixed wireless broadband (FWB), and fixed satellite broadband (FSB).�It also includes the annual router shipments by region from 2010 to 2015, and its regional breakouts are Asia-Pacific, Europe, North America, and ROW.

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