Global Fiber Optics Market has gained the momentum in recent years with a CAGR of 5.66% over the forecast period 2020-2026, and expected to reach at USD 9406.47 Million by 2026. The adoption of fiber optic cables to send less-loss signals has increased and pushed the market growth.
The worldwide demand for the internet along with the growing need for Fiber to the X (FTTx) is the major factor driving the growth of the fiber optics industry. On the other hand, rising wireless communication systems are limiting the growth of the market. In addition to the evolution of 5G networks, increasing popularity of cloud computing, increasing number of video-on-demand (VoD) users and growth of Internet of Things (IoT) installed base are some of the key factors that are projected to boost the growth of the global fiber optics industry.
Widespread implementation of 5G is fuelling the market across the globe
The demand for more data and better coverage is on rise among consumers all over the world. The next advancement in technology is the 5th generation wireless network, as it can relay more data while offering a more stable and secure link. The features of 5G include fast data rates and throughputs that are highly affected by heavy-duty fiber optic networks that impact both the cellular side and wireline side of the system. In fact, formidable 5G network performance goals are strongly predicated on a large fiber connectivity availability. 5G is currently being tested in a variety of markets and is scheduled to launch broad rollout by 2020. The 5G wireless network will send more data while making the link more secure and efficient in less time. The most innovative technology for constructing the next generation of communication networks is FTTH, which uses fiber optic infrastructure to enable quicker and more efficient communication.
Emergence of 5G, IoT and Big Data will rely heavily on real-time data collection and transfer. And due to unlimited bandwidth potential of fiber optics, it is opted to support these bandwidth levels.
Further, to achieve expected performance levels for 5G networks, more small cells (or nodes) and mobile edge computing will be needed to eliminate network bottlenecks. These small-cell deployments often utilize the millimeter wave spectrum, relying heavily on fiber cabled connections for the backhaul portion of the network. The launch of 5G will bring enhanced capacity and lower latency straight to networks. Fiber optics cable is the preferred option for 5G due to its scalability, security, and ability to handle the vast amount of backhaul traffic being generated. This in turn will offer a huge market opportunity for the fiber optic cable market in the IT and Telecom sector.
The Single Mode segment in global Fiber Optics market estimated to have the fastest growth during the forecast horizon
The global fiber type market based on cable type segmented into single mode and multi-mode. Amidst the category, single mode segment dominated the overall market in 2019 and is expected to continue this trend during the forecast period. The single mode segment witness market size of USD XXXX Million in 2019, and projected to reach USD XXXX Million in 2026 at a CAGR of XX%. The key growth driving factor is its numerous advantages that include high attenuation and dispersion, great data-transmitting capabilities, and others.
Glass fiber of fiber optics in the healthcare industry projected to propelling the market across the region.
Glass fiber optic anticipated to dominate the global market with the market share of XX% in 2029 and CAGR of XX% during the forecast period. Intensive R&D fiber optics technology have led to several innovations, enabling a variety of applications in the oil and gas, medical, utilities, and defense sectors. Glass fiber optics have a wide variety of new applications in the medical industry and is mainly used for light conduction and illumination, flexible bundling, and laser delivery systems. Glass is the largest fiber type of fiber optics due to its increasing demand from various applications. The high performance and easy availability of glass fiber optics is driving the glass fiber optics market.
North America is expected to dominate the Global Fiber Optics market during the anticipated period.
Geographically, the Global Fiber Optics market is bifurcated into North America, Asia Pacific, Europe, Middle East, Africa & Latin America. Governments of developed countries such as U.S., U.K., Japan and Germany among other are heavily investing in security infrastructure at country levels. Increasing awareness in rapidly developing economies with an aim to strengthen their hold at the global level. This is eventually necessitating the funding for technologies, majorly across the fiber optics that would boost the telecommunication sector infrastructure with better security measures and leads to drive growth of Asia-Pacific with lucrative growth rate.