Dell’Oro: Q126 PON OLT Port Spending Increases by 6%

According to the latest report released by Dell’Oro Group, the total revenue of the global broadband access equipment market reached $4.4 billion in the first quarter of 2026, a year-on-year increase of 2%, but a decrease of 8% compared to the fourth quarter of 2025. Major cable TV operators in North America have resumed spending on DAA equipment as part of their DOCSIS 4.0 network evolution strategy, while also accelerating the procurement of residential Wi Fi 7 routers and gateways to support their multi gigabit service levels.

Cable TV network equipment expenditure rebounds significantly

Jeff Heynen, Vice President of Dell’Oro Group, stated that “cable TV operators have suspended spending on DAA equipment in 2025 as they were waiting for an upgraded platform that integrates the unified DOCSIS 4.0 chipset. With the launch of these platforms, US cable TV operators are rapidly advancing their network evolution strategies and entering a relatively capital intensive phase.”

Chinese manufacturers are the first to launch 50G PON devices

Additional highlights from the first quarter 2026 Broadband Access and Home Networking Quarterly Report: Chinese manufacturers have reported their first shipment of 50G PON OLT ports and ONTs, with over 150 pilot projects already in operation. These projects include the deployment of enterprise parks, manufacturing factories, and high-end residential communities.

Operators continue to expand their 10 Gbps capacity through XG-PON and XGS-PON, with PON OLT port spending increasing by 6% year-on-year.

Wi Fi 7 routers increase by 73% year-on-year

Driven by lower cost dual band units shipped from China and Southeast Asia, as well as early purchases by US operators to support their multi gigabit service products, residential Wi Fi 7 router shipments increased significantly by 73% year-on-year.