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Dell’Oro Group Reports 14 Percent Growth in Optical Transport Market for Q2 2025

5 companies named across 3 categories, one of 2 articles referencing FiberHome. Previous coverage: Dell'Oro Group Reports 14% Growth in Optical Transport Market in 2Q 2025 (Aug 2025).

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Recent findings from Dell’Oro Group indicate that the Optical Transport equipment sector experienced a 14 percent annual growth rate in the second quarter of 2025. This growth is linked to increased interest in disaggregated Wavelength Division Multiplexing (WDM) and data center interconnects.

Market Recovery

According to Jimmy Yu, Vice President at Dell’Oro Group, the market recovery, which follows a period of six quarters with declining sales, demonstrates the strong demand for disaggregated WDM solutions. These solutions provide network operators with flexibility in selecting suppliers, promoting a vendor-agnostic environment.

Quarterly Highlights

The 2Q 2025 report features several notable points:

  • Growth in both optical transport systems and ZR/ZR+ optical plugs contributed to the market's annual revenue increase.
  • The disaggregated WDM segment saw a nearly 35 percent growth, driven by all technology segments including transponders and optical line systems.
  • Communications service providers observed a slight revenue increase compared to last year, while cloud providers accounted for a substantial share of the optical revenue growth, with a 60 percent increase in WDM system purchases.
  • The top revenue contributors for the quarter included Huawei, Ciena, Nokia, ZTE, FiberHome, and Cisco.

About the Report

The Optical Transport Quarterly Report by Dell’Oro Group delivers extensive insights, including manufacturer revenues, average selling prices, and unit shipment details. It encompasses market segments like Dense WDM (DWDM) and disaggregated WDM systems.

Conclusion

This summary highlights key findings from the latest report, emphasizing developments in the optical transport market relevant to IT leaders and decision-makers. This Blog Signals brief provides a timely overview of Dell’Oro Group’s original blog post.

Blog post, originally published by Dell'Oro Group at delloro.com.

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