If the early word is any indication, this is going to be a difficult quarter for equipment vendors. Acme Packet checked in with rough times a few days ago, AudioCodes announced a restructuring effort, and now ADTRAN had a weak Q2 and projected a weaker Q3, while Calix is pre-announcing a big revenue miss.
And they're all saying basically similar things, i.e. that carrier spending is ultra-cautious at the moment and spending is being delayed. We've yet to hear from the big guys of course, so the trend thus far is not exactly definitive. But it certainly does bear watching, especially in the context of the carrier capex numbers we will see over the next few weeks. It will also be interesting to see which vendors disagree.
What do you think, is the telecom and internet infrastructure economy turning south as a whole, or is this just another of the rapid shifts in the wind that vendors run into every few quarters? Is it time to batten down the hatches, or just a summer shower?
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