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Worldwide Cable Modem Market Grew Nearly 70% In First Quarter 2000.

Demand for high-speed broadband access connections outpaced supply of enabling devices during the first quarter of 2000, as worldwide shipments of broadband cable modems exceeded 1.47 million units, according to Dataquest Inc., a unit of Gartner Group Inc. (NYSE: IT and ITB). Dataquest analysts

said the first quarter of 2000 registered extraordinary strong shipments of cable modems, as the worldwide market for demand for broadband access continued unabated in to the new year.

Cable customer-premise equipment (CPE) based on the DOCSIS standard accounted for 61 percent of worldwide cable modem shipments in the quarter. Forty percent of shipments were proprietary, while Digital Video Broadcasting/Digital Audio-Visual Council (DVB/DAVIC) cable modems continued to remain mostly in the trial stage representing 0.2 percent of all shipments.

Motorola Broadband Communications remained the largest supplier of broadband cable access CPE, with 33.2 percent of the market (see Table below). Terayon was the No. 2 vendor, with market share of 11.7 percent. Com21 took the No. 3 spot with 10.4 percent of the market. Samsung Telecommunications and Toshiba America were practically neck and neck in the top five rankings with market shares of 8.5 and 8.3, respectively.

Worldwide Cable Modem CPE Vendor
Unit Shipment Estimtes, First Quarter 2000
(Thousands of Units)

                          Q1/00        Q1/00
Company                Shipments   Market Share (%)

Motorola Broadband        490           33.2
Terayon                   173           11.7
Com21                     154           10.4
Samsung Telecom.          125            8.5
Toshiba America           122            8.3
Others                    412           27.9
Total Market            1,476          100.0

Source: Dataquest (June 2000)

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