We expect that "all digital" Cable TV systems will begin to appear, especially in North America, and then in Europe, then Asia.
Gigabit Ethernet can be used to provide multiple, replicated "zones of operation" for a Cable TV system. Gigabit Ethernet is fast enough to provide all the services needed for digital Cable TV, it is robust, being used in carrier class services, and it is becoming low cost, because Intel, and others, are driving Gigabit Ethernet into very high volume applications.
Companies, such as Scientific Atlanta, BigBand Networks, IP Unity, Path 1 Technologies, and SkyStream Networks are pioneering Gigabit Ethernet video routers. Tandberg Television is working with Microsoft to get the Windows Media 9 Series deployed as a way to make it easier for Cable TV companies to get more signals out to more subscribers.
We expect that the market for Gigabit Ethernet video routers will account for $455 million (US) during 2007 for sales specifically going into Cable TV systems. Gigabit Ethernet video routers will also find customers among government agencies, major enterprises, distance learning and public safety markets.
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