Fiber Optic Component Market Expected to Reach $53.6 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Fiber Optic Component Market By Type (Cables, Amplifiers, Active Optical Cables, Splitters, Connectors, Transceivers, Others), By Data Rate (10 G, 40 G, 100 G, Above 100 G), By Application (Communications, Distributed Sensing, Analytical And Medical Equipment, Lighting): Global Opportunity Analysis And Industry Forecast, 2022-2031". The global Fiber Optic Component Market Size was valued at $23,644.0 million in 2021, and is projected to reach $53,586.2 million by 2031, registering a CAGR of 8.78% from 2022 to 2031.

A fibre optic cable is a network wire that incorporates strands of glass fibres inside an insulated housing. Fiber optic cables offer a higher capacity and can carry data over greater distances than conventional wires. The need for fiber optic hardware components in the telecom industry is predicted to increase due to the rising demand for internet penetration and data traffic are leading to the rapid growth of data centers and the need for high-speed transmission networks, thus increasing the fiber optic component market. Furthermore, it is predicted that during the forecast period, the market would increase due to the surge in need for deployment of broadband network architectures. Fiber to the Home (FTTH) and Fiber to the Building (FTTB) are the few prominent broadband networking architectures that necessitate the large-scale deployment of fiber optic networks. The fiber optic component market growth is also anticipated to benefit from the rising demand transceivers for advanced communication. The usage of a cables in a wide variety of industrial domains, including construction, telecommunication, packaging, industrial machinery, aerospace, defense, and information technology. Additionally, the usage of cutting-edge technologies in telecom infrastructure has increased. Companies in the market are pursuing new technologies, such as the development of IoT-based devices, thereby boosting the growth of the global fiber optic component market trends.

The growing need for rapid and efficient communication systems. There is an increasing demand for effective data transmission because to the increase in data consumption brought on by the spread of digital devices, cloud computing, and the Internet of Things (IoT). Because of their unmatched data transfer speeds and low latency, fibre optic components such optical fibres, connections, and transceivers are essential for telecommunications, data centres, and internet service providers.

Fiber optic active components are key differentiators for communication, distributed sensing, analytical and medical equipment and the most important interface for the data centers. Changes in consumer demands and introduction of new technologies are the key factors expanding the growth of the fiber optic component market analysis.According to global fiber optic components market analysis, the cables segment was the highest revenue contributor to the fiber optic component market share, in 2021, owing to increase in deployment of data centers. Fiber optic components are used for both internal and external communications within data centres. For intra data centre connectivity, data is transported using optical interconnects within data centres housed in buildings or campuses. For instance, In November 2021, Sumitomo Electric Industries, Ltd. (Japan) launched new ITU-T G.654.E terrestrial ultra-low-loss optical fibers and cables through its Pure Advance series which is accelerating the segment’s demand.

The outbreak of COVID-19 has significantly impacted the growth of the global fiber optic component industry in 2020, owing to significant impact on prime players operating in the supply chain. On the contrary, the market was principally hit by several obstacles amid the COVID-19 pandemic, such as lack of skilled workforce availability and delay or cancelation of projects due to partial or complete lockdown, globally.

Country wise, China holds a significant share in the global fiber optic components market, owing to the presence of prime players. Major organizations and government institutions in the country are intensely putting resources into these global fiber optic components these prime sectors has strengthened the growth of the global fiber optic components market in the region.

KEY FINDINGS OF THE STUDY

• In 2021, the cables segment accounted for maximum revenue, and is projected to grow at a notable CAGR during the forecast period.
• China contributed for the major share in the fiber optic components market, accounting for highest revenue share in 2021.

The key players profiled in the fiber optic components market analysis Furukawa Electric, Sumitomo Electric Industries, Lumentum Holdings Inc., Accelink Technologies Co., Ltd,II-VI Incorporated, Broadcom Inc., Acacia Communications, Inc.,Fujitsu Optical Components, EMCORE Corporation, and Tongding Interconnection Information Co Ltd. These players have adopted various strategies such as product launch and merger & acquisition to increase their market penetration and strengthen their position in the industry.