Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Vivek Arya – Bank of America, Merrill Lynch.
Vivek Arya – Bank of America, Merrill Lynch
Tom, the very sharp drop in HDSL, can you give us some more color around that. I think you mentioned it was one customer. From what I recall from the Q1 earnings call, this was somewhat of a surprise so if you could just elaborate on that.
Thomas Stanton
It was definitely one customer. In general I think the market, we have some customers that were slightly up, some that were slightly down, but in general I would say flat except for one customer, and as I mentioned on my previous comments, that customer had a very strong first quarter. So we do see that from time to time. In fact we saw this happen with this exact same customer in the second half of last year, so it's something that was, we didn't expect it to drop necessarily to that level, but we also didn't expect it in the first quarter to be as high as it was.
Vivek Arya – Bank of America, Merrill Lynch
How do you see HDSL trends in the second half of this year?
Thomas Stanton
It's always, one of the comments I made was the 12 month view of HDSL which is kind of what we've been trying to get people to look at, and that is more from a longer interval term level because we do see inventory fluctuations and we do see project that tend to affect HDSL over any short period of time, but in general things tend to even out.
So we're still expecting, we've been talking about being down single digits for HDSL for the year, and that's still where we're expecting to be.
Vivek Arya – Bank of America, Merrill Lynch
On broadband access, the pick up that you're seeing, I guess broadband access and optical, the pick up that you saw in Q2, is that more related to the IOC's or is it some improvement in Tier One spending also?
Thomas Stanton
In the broadband access piece, it was both. We have some Fiber to the node built outs that cover the Tier One space as well as we saw a pretty good uptick in the Total Access 5000 space in the IOC's. And in the optical space, I would say in general, it was all markets but we did see a pick up at some of the Tier One's that was fairly strong.
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