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Broadband xDSL Chip Market Decline

Posted: 29th Jul, 2003 By: MarkJ
Researchers have predicted that the global market for broadband xDSL chips will decline by 21% to $878m in 2003 because of slowing equipment sales:

According to a report from IDC, Worldwide DSL Semiconductor Forecast and Analysis, 2002-2007, the decline reflects cost reductions coming from the integration of the communications processor and digital signal processor transceivers into customer premises system designs.

The analyst said that DSL subscriber rates vary by region. By 2007, the rest of the world category will show a healthy compound annual growth rate of 13 per cent, whereas Japan will show minus 43 per cent for the same period.

"Although growth in emerging markets and equipment replacement will help prop up the DSL semiconductor market, continued price erosion and market saturation in key regions will limit the opportunity for DSL chip vendors going forward," said IDC research analyst Ken Furer, in a statement.

Thankfully things should improve between 2004 and 2005, more @ VNUNet.
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