Capex and Equipment Market Update: 3Q09

Abstract

Global wireline equipment sales declined by 16.0% in 3Q09 versus the year-ago quarter, a slight improvement over the 18.5% decline in 2Q09.In absolute terms, wireline equipment quarterly revenues of $7.77 billion were the lowest seen since 1Q07.Chinese vendors Huawei and ZTE continued to make impressive gains in market share, while Nokia Siemens Networks suffered unusually poor results.

Table of Contents

• Executive summary
• In a nutshell
• Ovum view
• Trend points to growth in wireline equipment in 1H10
• Recession continues to reshape the vendor landscape
• Quarterly results
• Growth in 3Q09 is scattered amongst India, China, MEA, and North America
• Equipment sales continue to decline in 3Q09
• Vendor share, rank, and revenue

List of Tables

• Table 1: Revenue and capex growth in 3Q09 vs. 3Q08, constant exchange rates
• Table 2: Notes on operators for 3Q09
• Table 3: 3Q09 segment revenues versus 2Q09 and 3Q08 (global)
• Table 4: Top 15 wireline equipment vendors based on rolling 4Q sales
• Table 5: Telecom wireline equipment vendor market share rank by segment, based on rolling 4-quarter sales figures
• Table 6: Telecom wireline equipment vendor revenues and share change

List of Figures

• Figure 1: Quarterly growth rate of fixed network equipment revenues
• Figure 2: Year-over-year changes in exchange rates, 1Q07 - 3Q09
• Figure 3: Telecom equipment market segment revenue trends (wireline)