Using tunable lasers can help service providers cut down on their laser inventories and provide improved fault and provisioning management. This is an area that is already being exploited by Nortel and Lucent, but is also an area where innovative start-ups, such as Iolon, appear. CIR says it expects to see more such start-ups appear over the next 12 months. Optical connectors are low-tech compared with optical switches and tunable lasers. However, CIR believes that there will be considerable opportunities for both industry giants such as Tyco and smaller companies as the result of the move towards DWDM and all-optical equipment generally.
More optics means more connectors.
At the same time, the optical equipment industry is looking to build systems with smaller footprints and, as a result, is in a quest for ever smaller connectors. Truth in Forecasting CIR has been forecasting the fiber optics business for well over 15 years and has extensive knowledge of its economic structure and dynamics. The forecasts contained in this report are therefore based on a seasoned and realistic understanding of market requirements. As a result of this approach, CIR's forecasting methodology emphasizes real demand over industry hype. 2000-2004 is, however, much more than just a forecast of the U.S. optical components market.