Layoffs at Ciena continue industry's downward spiral; "Worst depression ever"; Some call revival years away as sector lags U.S. economy

Although the nation's wobbly economy is showing signs of strengthening, the telecommunications industry is mired in a deep slump with no end in sight, according to industry experts. ... Layoffs at Ciena have reduced the work force by 38 percent. ...

One analyst: "This industry now is in the worst depression ever. I think depression is not too strong a word."

[Another analyst] sees the downturn gripping the industry into 2004.

... The cuts have been deep. Verizon: 16,000; SBC: 7,500; Qwest: 7,000; BellSouth: 3,000.

At the current pace, the number of layoffs would shatter last year's total of 317,777 telecommunications workers who lost jobs.

"Telecom is still experiencing just a tremendous glut in capacity and falling demand. I do think there are more [cuts] coming. Coming back to some kind of equilibrium is not complete yet. We are still seeing cuts every day." ... "What really happened is the demand for equipment ... collapsed for the last year and a half."

... more than a dozen telecommunications companies have filed for bankruptcy and others are on the brink of failure. "There has been a rash of bankruptcies. ... It is a mess."