Nokia

This report provides historical information, industry context, and product examples of our classification of Compact Modular systems.

Telecom revenue has hit the bottom as overwhelming 800GbE demand raises Datacom revenue and shipments.

Cloud Spending on Optical Transport Jumps 46% in 4Q23, Traditional Service Provider Spending Remains Weak

The market slides ex-china as service provider spending stalls.

Optical and routing results point to growing weakness in North American carrier capex.

Worldwide DWDM deployed bandwidth declined YoY for the first time.

Datacom revenues are recovering from the Q1 drop and are poised to explode along with 800GbE shipments in 2024. Telecom revenue continues to lag, as deployed bandwidth declined YoY for the first time this quarter.

The optical market grew 4% – cloud operators continue to invest in transport and vendors are still shipping against large backlogs.

The optical market grew 4% – cloud operators continue to invest in transport and vendors are still shipping against large backlogs.

Cignal AI is tracking announcements of Gen120 (120+ GBaud, 1+Tbps) optical trials and deployments.

Optical and routing point to growing weakness in North American carrier Capex.

Datacom revenue and module shipments plummeted as inventory adjustment hit hard this quarter.

Bandwidth growth and compact modular sales slow as Hyperscalers take their foot off the gas.

Optical sales slowed due to inventory absorption and macroeconomic concerns, but routing sales continued to grow.

Supply chains loosen up and revenue ramps, some service providers express hesitation.

Nokia’s optical business continues to grow but routing sales abruptly pull back.

AI demand at TSMC is insufficient to offset weakness across all its other businesses.

The Bandwidth Must Flow: Up 39% YoY

Datacom revenue and module shipments plummeted as inventory adjustment hit hard this quarter.

North American Cloud operators were the growth engine for optical and packet transport sales.