The next generation of Chinese vendors

The next generation of Chinese vendors

Lachlan Colquhoun  |   November 17, 2011
Telecom Asia

Side bar: On the fast track

If any company is mentioned as likely to challenge either ZTE or Huawei, FiberHome's rapid growth in the optical networking market is certainly a top candidate.

The state-owned FiberHome Group owns Accelink and WTD, which together are the largest optical component and module vendors in the Chinese domestic market. FiberHome Group is also the parent company of FiberHome Telecommunications Technologies, the company which only started to compete in earnest on the global market as recently as 2010.

While FiberHome is active at home, it is building up its global sales from a small base and according to Ovum, should be the fifth ranked company with 4% of the $20 billion optical networking equipment market by 2015. Last year domestic sales accounted for 93% of its business.

Domestically the company has had recent success in the PON markets, being selected as one of five suppliers for China Mobile's GPON equipment procurement tender, and one of three winners of the EPON tender.  

FiberHome's growing success is the result of several decades of development. Founded in 1974 and previously known as the Wuhan Research Institute of Posts and Telecommunications, the company now employs around 12,000 workers across five factories in China from its base in Wuhan, now known as "Optical Valley.".

Despite its growth and prospects, FiberHome's 21% growth in 2010 should be put into perspective. It's revenues of $826 million compares with $27 billion for Huawei and $10 billion for ZTE, but then, both those companies were small once.

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