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Dell'Oro Group Reports 14% Growth in Optical Transport Market in 2Q 2025

Source Decision Insights Record Published August 21, 2025 Companies 6
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6 companies named across 4 categories, one of 10 articles referencing Dell'Oro Group. Previous coverage: Enterprise automation, fiber buildout, data center infrastructure and CISA KEV updates - Week of August 18, 2025 (Aug 2025).

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According to a recently published report from Dell'Oro Group, the Optical Transport equipment market grew 14 percent year-over-year in the second quarter of 2025. This growth predominantly resulted from increased demand for disaggregated Wavelength Division Multiplexing (WDM) and Data Center Interconnect (DCI) solutions.

Jimmy Yu, Vice President at Dell'Oro Group, stated, “Following six quarters of soft sales in optical transport, it was great to see this market recover and post a strong double-digit growth rate.” He noted that the demand for disaggregated WDM had contributed significantly to this growth, as both cloud and communication service providers sought an open, vendor-agnostic environment.

Additional insights from the report indicated that the Optical Transport market benefited from increased year-over-year revenue for optical transport systems and ZR/ZR+ optical plugs for IPoDWDM. Disaggregated WDM saw nearly 35 percent growth year-over-year, with demand spanning transponder units, optical line systems, and ZR/ZR+ optics. Cloud providers played a crucial role, with their spending on WDM systems increasing by 60 percent year-over-year.

The report also highlighted the top vendors in the market during the quarter, which included Huawei, Ciena, Nokia, ZTE, FiberHome, and Cisco.

Press release, provided by Cision on behalf of Dell'Oro Group. Read the original.

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