- The total shipment value of the Taiwanese data-communications industry reached US$913 million in the first quarter of 2003. LAN (Local Area Network) shipment value, which includes NICs (Network Interface Cards), routers, WLAN (Wireless Local Area Network) NICs and access points, and SOHO (Small Office / Home Office) routers, accounted for 56% of total Taiwanese data-communications industry value, while 44% consisted of WAN (Wide Area Network) products, such as analog modems, xDSL (Digital Subscriber Line) and cable modems. Due to seasonal factors and a continued fall in prices, total data-communications industry shipment volume is expected to drop 15% in the second quarter of 2003 to US$899 million.
WLAN share of LAN shipment value saw a pronounced rise, from 24.9% in 2002 to 29.2% in the first quarter of 2003. This marked augmentation in share was due to rapid growth in global demand since the second half of 2002 and increased outsourcing from leading WLAN vendors.
Analog modems, xDSL, and cable modems respectively accounted from 26.5%, 53.8%, and 19.7% of Taiwanese WAN industry shipment value in the first quarter of 2003. Analog and cable modems comprised a lower share than seen in the second half of 2002, while xDSL witnessed sizeable gains in share. The drop in analog modem share was particularly dramatic due to acceleration of broadband demand. xDSL and cable modem are gradually replacing analog modems to became the mainstream Internet access devices.
The rapid growth in xDSL value was attributable to strong global demand coupled with steady outsourcing from xDSL vendors and broadband service providers. Share of xDSL exceeded 50% of total Taiwanese WAN industry value, rendering xDSL the main contributor to WAN industry shipment value.