Cable Modem Termination System (CMTS) Market Introduction
Cable Modem Termination System (CMTS) are used by the cable operator to provide high speed data and IP-based voice services over Hybrid Fiber Coax (HFC) networks to subscribers. CMTS are computer-based devices that allow exchange of signals across cable modems connected via cable network. Cable modem termination system (CMTS) has two different architectures including integrated cable modem termination system (I-CMTS) and Modular cable modem termination system (M-CMTS).
Cable modem termination system has both Ethernet and RF interfaces, with this, the traffic coming from internet can be routed through Ethernet interface, through CMTS, and then onto RF interface that is connected to the HFC. The cable modem termination system also implements some basic filtering in order to protect against unauthorized users and various attacks.
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Cable Modem Termination System (CMTS) Market- Competitive Landscape
- CommScope has closed US$7.4 billion acquisition of Arris. The combined company will be positioned for 5G transition and wireless/wired network convergence. Both companies have claimed that the deal will produce more than US$150 million in the annual run-rate cost synergies in the 3rd year of the merger.
- Harmonics has launched a new CDN-enabled primary distribution solution. The solution streamlines delivery and management of linear channels from programmers to OTT distribution partners.
Founded in 1995, Arris International is located in the US. The company provides video, telephony, and data systems to cable operators for businesses and homes. TM402P and TM502G are two most popular home telephony modems offered by the company. The company also produces SBG6580 wireless cable modem and router unit.
Founded in 1961, Broadcom is located in the US. The company designs and manufactures infrastructure software solutions and semiconductor. A wide range of products offered by Broadcom serves the networking, data center, broadband, software, wireless, storage, and industrial markets. As part of recent developments, in 2018, Broadcom announced the acquisition of CA technologies.
Established in 1996, Juniper Networks is located in the US. The company manufactures and markets various networking products. The product portfolio of the company includes switches, routers, network security products, software-defined networking technology, and network management software. Some of the distribution and resell partners of Juniper Networks are IBM, Ericsson, Nokia, NEC, and IngramMicro.
Founded in 2000, Sumavision Technologies is located in China. The company provides broadband and video solutions worldwide. Some of the main products and services of the company include big data and cloud services, new media technology services, digital television services and systems, television operation systems, and intelligent terminals and gateways.
Leading players in the cable modem termination system (CMTS) market are Cisco, Nokia, Blonder Tongue Laboratories, Huawei, Vecima Networks, Teleste, and Casa Systems.
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Cable Modem Termination System (CMTS) Market Dynamics
Increasing Adoption of OTT Services Driving Demand for High Speed Internet
Adoption of Over The Top (OTT) services such as Amazon Prime, Netflix, and Hulu has increased in recent years, this is resulting in the growing demand for high speed internet, this, in turn, is leading to the wide application of cable modem termination system. Moreover, new OTT video services are accelerating the demand for cable networks. In response to growing demand, multiple system operators are introducing new gigabit tiers and new services. Providing faster internet speed, while reducing the power consumption, space, and cost is the key focus areas of manufacturers in the cable modem termination system (CMTS) market.
Companies are also focusing on offering advanced systems to deliver faster broadband services. For instance, Harmonic in 2018 introduced CableOS™ virtualized cable access solution. It is the industry’s only software-based cable modem termination system and an end-to-end remote PHY system that supports distributed and centralized architectures.
Modular CMTS Gaining Popularity in Cable Modem Termination System (CMTS) Market
The modular cable modem termination system (M-CMTS) has two components including Physical Downstream Component (PHY) known as Edge QAM and IP networking and DOSCIS MAC component, known as M-CMTS Core. One of the biggest benefits of M-CMTS is that it is highly scalable to huge number of downstream channels. Moreover, there has been a rise in the number of migration from Integrated CMTS (I-CMTS) architecture to M-CMTS architecture by using two options including evolving an existing I-CMTS to M-CMTS core and another option used is selecting a completely new M-CMTS core. Meanwhile, in order to ensure successful migration with no or minimal impact to existing service, companies are ensuring that M-CMTS core supports all DOCSIS services and features required by cable operator and another consideration in accessing M-CMTS core to support DOCSIS services and features is stability of the design.
Shared Bandwidth Issue to Hamper Cable Modem Termination System (CMTS) Market Growth
In recent years, the adoption of cable internet has increased as compared to DSL owing to the cable modem speed which is two times faster than DSL speed. However, the biggest concern regarding cable internet connection is that cable technology is based on the shared bandwidth with various factors affecting download speed. Moreover, with shared bandwidth in cable internet connection, speed fluctuates, depending on the number of subscribers on the network.
Owing to the fluctuation of speed in cable modem, it is difficult to measure the exact download speed. Cable internet speed also largely depends on the service provider, and number of subscribers on the network.
Cable Modem Termination System (CMTS) Market Segmentation
Based on the application, the cable modem termination system (CMTS) market is segmented into
Based on the end-use industries, the cable modem termination system (CMTS) market is segmented into
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