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Telecommunications industry

Buyers of Optical Components Seek to Consolidate Suppliers

Strategic Insights

— 1 min read

Buyers of optical components are seeking to simplify their procurement processes by reducing the number of suppliers they deal with, despite an increasing number of component vendors in the market. According to a recent report by Heavy Reading, a major survey of over 300 optical component buyers revealed a significant shift in buyer attitudes towards the optical components market. The report, based on an exclusive survey of systems vendors, original equipment manufacturers, and systems integrators, highlights the impact of recent changes in the optical components supply chain on buyer perceptions.

Key Takeaways:

  • The number of optical component buyers seeking to reduce the number of suppliers they deal with is increasing, with 71% of respondents citing consolidation as a key goal.
  • The survey revealed a significant shift in buyer attitudes towards the optical components market, with 63% of respondents reporting a decrease in trust in suppliers over the past two years.
  • The report highlights the importance of supplier evaluation and selection, with 85% of respondents citing this as a critical aspect of their procurement process.
  • The survey also revealed that buyer perceptions of suppliers are influenced by factors such as quality, price, and delivery lead times.
  • Notable suppliers such as JDS Uniphase, Agilent Technologies, NEC Corporation, and NTT Electronics were included in the survey, with buyer perceptions varying significantly across these vendors.

Statistics:

  • 71% of respondents sought to reduce the number of suppliers they dealt with.
  • 63% of respondents reported a decrease in trust in suppliers over the past two years.
  • 85% of respondents cited supplier evaluation and selection as a critical aspect of their procurement process.
  • 40 vendors were included in the survey, with buyer perceptions varying significantly across these vendors.

Sources:

  • Heavy Reading, "2004 Optical Components Market Perception Study"
  • PRNewswire, "Buyers of Optical Components Look to Reduce Providers"

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