LightCounting Says 10 Gbps Adoption and FTTx Deployments Are Driving Optical Transceiver Growth

EUGENE, OR -- (MARKET WIRE) -- January 22, 2007 -- Sales of optical transceivers exceeded $1.7 billion in 2006, with steady growth likely to continue through 2010, according to a new optical transceiver report from LightCounting, the premier transceiver research company. The report's author, Dr. Vladimir Kozlov, said the wide adoption of high speed 10 Gbps interfaces and deployments of FTTx systems are driving the growth. Looking ahead, Dr. Kozlov forecasts the global market for optical transceivers will climb to $2.8 billion in 2010, growing steadily at a 12 percent CAGR (Compound Annual Growth Rate).

Citing the trends indicated in the comprehensive sales data on which the report is based, Dr. Kozlov, founder and CEO of LightCounting, explained, "The steady growth may be misleading as it conceals volatile dynamics of sales of different product groups. The consequence of those dynamics will be highly significant for the transceiver market."

LightCounting's January 2007 forecast includes the following:

--  Historical sales data for 2005 and 2006.
--  Detailed forecast for SONET/SDH, Ethernet, Fibre Channel, CWDM, DWDM
    and FTTx transceivers, as well as parallel optical modules split into 86
    product categories through 2010.
--  Transceiver sales data for 2005-2006 incorporates sales information of
    27 transceiver vendors, including 20 vendors that shared confidential sales
    data with LightCounting.
--  The market forecast for 2007-2010 based on a model correlating
    transceiver sales with network traffic growth and projected deployments of
    FTTx systems.
    

The LightCounting report, Transceiver Market Forecast - January 2007, is one of six reports per year LightCounting produces, including:

--  Semiannual Transceiver Sales Reports offering information on quarterly
    sales of close to 100 different product categories.
--  Semiannual Market Forecast Reports providing an objective
    extrapolation of existing market trends into the future.
--  Annual State of the Industry Report describing competitive landscape
    of the transceiver industry.
--  Annual Technology Review offering insights on emerging technologies
    and their impact on the transceiver market.
    

About LightCounting

Providing visibility into the global transceiver market, LightCounting is the premier transceiver research company relied upon for accurate, detailed, and relevant transceiver market insight.

LightCounting's reports enable business executives, engineering, manufacturing, and sales/marketing professionals to plan business strategies using objective market information rather than speculative assumptions. Combining Semiannual Transceiver Sales Reports and Market Forecast Updates with Annual State of the Industry Reports and Technology Reviews, LightCounting is the optical transceiver market's information source.

Privately held, LightCounting is headquartered in Eugene, Oregon. For more information, visit the Company's website at www.LightCounting.com or call 408.962.4851.

Contact Information: To purchase the Transceiver Market Forecast - January 2007 and any other research reports, contact: Megan Andreosky LightCounting Phone: 925.217.1174 Email Contact Press Inquires: Shelli Ryan, APR Ad Hoc Communication Resources (for LightCounting) (402) 572-6510 Email Contact