Broadband CPE market headed for dramatic shift

8 September 2004 News

The broadband customer premise equipment (CPE) market is transitioning from a modem-dominated one to a gateway-dominated one, with cable firms and telcos finally turning talk into action with orders for gateway-based CPE. Providers are evolving CPE strategies to include fuller gateways that enable, at the very least, a back-end managed home network.

In-Stat/MDR says that the residential gateway market will drive growth in the broadband CPE market for the next five years - from just under 5 million gateways shipped in 2004 to over 18 million by 2008.

In-Stat/MDR also says that the move from two-box solutions such as modem/router combinations for home network deployments to residential gateway deployments will slow growth of overall shipments. Voice Over Internet Protocol (VoIP), will become a common feature on broadband CPE in coming years. In 2008 over 8 million units shipped will have VoIP capabilities incorporated, it forecasts.

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