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Dell'Oro: the global service provider's router and switch revenue is expected to reach $76 billion in 2026

Adoption of 400Gbit/s routing technology is expected to drive growth in the service provider routing and switching market over the next five years, according to a new forecast from Dell'Oro Group.   The global service provider (SP) router and switch market revenue is expected to reach $76 billion by 2026, growing at a compound annual growth rate (CAGR) of 2%, Dell'Oro said. Both telcos and cloud service providers are predicted to benefit from the adoption of 400G routing technology in the form of network expansion and increased revenue.   Dell'Oro said that the adoption of 400G in wide area network (WAN) and data center interconnect (DCI) will play a major role in driving the growth of the routing/switching market.   Analysts expect the cloud SP segment to grow faster than the telecom SP segment over the next five years. Dell'Oro Group senior analyst Ivaylo Peev said that even with macroeconomic and geopolitical pressures, the company's July forecast for the router and switch market remains in line with its January forecast.   "Emerging economic uncertainty, racing-style inflation, China's COVID-19 dynamic zero policy, and the war in Ukraine are weighing on the market in 2022, putting pressure on both suppliers and customers," Peev said in a statement. "We have adjusted our forecasts to take into account these market challenges, but we have not changed our forecast baseline guidance as we believe the fundamentals of the SP router market will remain healthy over the forecast period. "   Analysts also expect that in the next five years, shipments of 400ZR modules and 400GE ports will gradually increase, and ZR optical modules will also bring new SP use cases. The ZR optical module supports data transmission up to 120 kilometers and is based on the 400ZR specification defined by the Optical Networking Forum (OIF).   According to a recent Heavy Reading report, by 2025, the majority of respondents to the global operator survey "expect 400ZR/400G ZR+ penetration to exceed 25% in each major transmission segment, and between them It's fairly evenly distributed." These segments include DCI, metro aggregation, metro core and long-haul core. In addition, 400ZR and 400G ZR+ are expected to be most deployed in metro aggregation, metro core and long-haul applications.   More and more SPs have set their sights on deploying 800G capable systems in their networks. Continued 800G adoption looks promising over the next two years, as another 41% of surveyed CSPs (communication service providers) expect to deploy in that time frame. However, a third of CSPs (about 33%) expect to adopt coherent 800G in 2024 or later.   Between now and 2025, you expect the majority of embedded 800G coherent optics to be deployed in metro/long-haul/subsea network wavelengths. In the early days, service providers mainly in the US market adopted 800G.   Perrin also said that one of the advantages of 800G is that "it can support not only the metro market, but also the long-haul and even the subsea market -- while operating at sub-600G data rates". However, most current use cases are focused on long-haul/subsea applications to achieve maximum data rates over longer distances.



Google Announces Accelerated Expansion Of Fiber Optic Network

ICC news: After suspending network expansion and reducing some initial commitments in 2016, Google optical fiber pressed the "play" button again.   Following the establishment of optical fiber networks in West Des Moines and Des Moines, Iowa, and more recently in mesa, Arizona, Google fiber now looks to cities in several Midwest states.   Dinni Jain, CEO of Google optical fiber, promised in his blog: "if you have been paying attention to Google optical fiber, you will know that we are busy recently... And the business of Google optical fiber will be more busy."   Jain was an executive of cable TV operators such as Time Warner TV and insight communications. He said that in recent months, Google fiber has been holding talks with city leaders in Arizona, Colorado, Nebraska, Nevada and Idaho, with the goal of bringing the fiber-optic home service of Google fiber to their communities.   Jain did not identify which cities are being explored or propose any specific timetable, but pointed out that these States will become the main focus of their growth in the next few years, and they will continue to expand in the current metropolitan areas. Jain added that Google fiber will share more details about the new city and "faster speed" in the coming months.   The current high-end service of Google fiber provides 2GBIT / s downlink and 1GBIT / s uplink, with a price of $100 per month. Google fiber has almost eliminated its own IPTV management service, but has promoted several virtual multi-channel video program distribution (vmvpd) services, including DirecTV stream, fubotv, sling TV and Google's own YouTube TV.   Jain also opened the door to communities interested in building their own fiber-optic networks, pointing out that Google fiber has established a municipal centered model in Huntsville, Alabama and West Des Moines. Jain wrote: "we will continue to find ways to support similar efforts." Jain has been in charge of Google's access business since 2018.   The following is the network and service deployment of Google fiber using FTTP or its fixed wireless platform webpass:



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