Case Study: Passive Optical Networks

Sivers Semiconductors laser devices support the 1 Gigabit to 10 Gigabit broadband system’s upgrade for 440 million homes in China.

China has over 440 million Fiber-To-The Home (FTTH) broadband subscribers already using a Passive Optical Network (PON) infrastructure for voice, video and internet connectivity. The country has begun upgrading its PON systems from 1 Gigabit PON (GPON) to 10 Gigabit PON (10-GPON), over this existing fibre infrastructure.

Sivers Photonics manufactures and supplies the distributed feedback (DFB) lasers used in both the GPON and the next-generation, 10-GPON systems. Sivers Photonics has already shipped many millions of DFB laser devices to China Telecom and China Wireless, via its direct customers Huawei and ZTE.

The FTTH service provider’s cost base allows the supply of Gigabit broadband solutions to subscribers at less than $25 per month.

Sivers Photonics DFB lasers meet all international Telecoms standards. As China upgrades its PON infrastructure, Sivers Photonics is supplying laser devices for current and next generation applications.

The total, world-wide, Broadband Access revenue market for systems is currently valued at just over $12bn. PON accounts for $6.1bn of this total, with a CAGR of 4%. The 10-GPON systems market is currently 10% of the total GPON market, but it is by far the fastest growing segment. It is expected to reach 40% of the PON market by 2023; equating to over 200 million laser devices*.

*Reference Dell’Oro; Broadband Access Five Year Forecast Report, 2019 – 2023.

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