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31 July 2008


VCSEL transceiver market to grow at 24.5% to $1.1bn in 2012

The worldwide consumption value of optical communication transceivers based on vertical-cavity surface-emitting lasers (VCSELs) reached $376m in 2007, and should increase at an average annual growth rate of 24.5% to $1.1bn in 2012, according to a new forecast and analysis of global market consumption and technology trends from ElectroniCast Consultants.

”Strong growth in VCSEL transceiver use is occurring in <10 Gigabit Ethernet and 1-2Gb/s Fibre Channel; this transceiver grouping is forecasted to show triple (3x) growth by 2012,” says Stephen Montgomery, president of ElectroniCast Consultants - APAC. “The increased production of VCSEL transceivers is fueling development of 10 Gigabit VCSELs, multi-wavelength CWDM [coarse wavelength division multiplexing] VCSEL transceivers, long-wavelength single-mode VCSELs, and opening new opportunities for these standards-based applications,” he adds.

Very-short-reach (SONET VSR) module based on VCSEL transceivers are forecast to grow strongly in value terms, while the growth of 10 Gigabit Ethernet from 2007-2012 will boost the Ethernet category even higher in 2012.

“Use of VCSEL transceivers in military/aerospace applications continues to show strong growth; however, the near-term VCSEL transceiver growth leader will be intra-system links, such as telecom serial links, optical array interconnect/optical backplanes, and Infiniband,” Montgomery concludes.

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