Transport Hardware

EMEA Optical and Packet Transport Spending Bounces Back in 3Q20

European operators resumed purchases of optical and packet transport hardware in 3Q20 as COVID-related supply chain and operational delays eased.

3Q20 Transport Hardware Report

Third quarter results were better than forecast, especially in EMEA where both optical and packet hardware spending increased. North America spending declined while China spending was flat and Japan spending growth continued unabated.

Cisco 3Q20 Vendor Summary Report

Cisco’s results and forecast this quarter were more optimistic than last quarter. Optical and packet sales slowed, but an uptick at the end of the quarter hinted at a better than expected finish for the year.

Nokia 3Q20 Vendor Summary Report

Nokia had an extraordinary Q3, with overall growth significantly higher than the market. Much of this growth came from Q2’s delayed sales.

Infinera 3Q20 Vendor Summary Report

Infinera’s optical and packet sales grew in Q3 and the company set expectations for continued growth in Q4, running counter to earlier industry forecasts of a slowdown in the second half.

Juniper 3Q20 Vendor Summary Report

Juniper defied forecasts of a flat to down second half of 2020 by posting one of its best growth quarters in recent history in Q3.

Ciena 3Q20 Vendor Summary Report

Ciena’s healthy 3rd quarter performance was overshadowed by expectations of a pandemic-induced slowdown for the next few quarters.

2Q20 Transport Hardware Report

Second quarter results were mixed. Forecasted growth in Q2 from sales pushed out of Q1 did not materialize as anticipated and carriers indicated that annual CapEx will not be increased – suggesting a flat to down second half of the year.

Transport Hardware Misses Expected Bounce Back in 2Q20

Delayed order fulfillment due to COVID supply chain impact earlier this year didn’t materialize as expected.

Cisco 2Q20 Vendor Summary Report

Cisco reported a sharp decrease in orders across the company, although the decline in orders from service providers (-5%) was milder than other areas.

Infinera 2Q20 Vendor Summary Report

Despite ongoing operational issues due to COVID, increasing operator demand drove Infinera’s optical sales this quarter, and the company expects an even stronger second half.

Nokia 2Q20 Vendor Summary Report

Nokia reported rising demand from customers but a continued COVID impact on the supply chain, resulting in a down quarter in almost every region and product segment.

ADVA 2Q20 Vendor Summary Report

ADVA reported YoY growth in the second quarter but retracted guidance for the rest of the year, a narrative that will be echoed by many vendors in Q2.

Ciena 2Q20 Vendor Summary Report

Ciena expects to generate revenue growth of 2-4% in a flat (ex-China) market in 2020, implying declines YoY for optical sales in the second half of the year.

1Q20 Transport Hardware Report

Vendors generally claimed a 5-10% reduction in sales due to COVID-19 operational issues this quarter. While demand increased, the inability to get parts, manufacture equipment, and deliver to end customers reduced sales in all areas.

Network Operators Accelerate Capex in Response to COVID-19

The effects of COVID-19 simultaneously catalyzed demand for transport equipment and paralyzed supply chains worldwide during the first quarter of 2020.

Infinera 1Q20 Vendor Summary Report

On the Q1 earnings call, Infinera CEO Tom Fallon emphasized that margins were “compressed” by the inability to ship higher-margin new technology to offset of the lower-margin 200Gbps optics.

Cisco 1Q20 Vendor Summary Report

Vendor summary reports focus on the most recent quarterly financial results and items of interest for select vendors. This report covers Cisco’s 1Q20 results.

Nokia 1Q20 Vendor Summary Report

Vendor summary reports focus on the most recent quarterly financial results and items of interest for select vendors. This report covers Nokia’s 1Q20 results.

ADVA 1Q20 Vendor Summary Report

Vendor summary reports focus on the most recent quarterly financial results and items of interest for select vendors. This report covers ADVA’s 1Q20 results.