Report Overview

Global Fiber Optics Market Forecast and Trends

Fiber Optics have appeared as a cost-effective and practical solution for maintaining pipeline integrity. The oil & gas industry continues to be the prime consumer of Fiber Optics and is expected to present significant demand for such coatings over the years to come. The global consumption of oil and gas continues to rise due to various macro-economic factors. The development of pipelines for oil and gas transportation has increased due to the continuous demand for energy in countries like China, India, the U.S, and others, which is opening new growth windows for the oil & gas industry. Fiber Optics come with several advantages such as improved flow assurance, reduced cost of energy, and corrosion inhibition, which makes it an appropriate product for the pipeline integration solution. Increasing construction spending, along with rising demand for natural gas, mainly in China and India, should drive regional growth. Growing agricultural activities and issues related to the water crisis may elevate the need for water transport and thereby enhance industry growth. The positive trend in agricultural, residential, and industrial applications will fuel Fiber Optics market size.

Pipelines have wide usage in transporting water, chemicals, and various industrial processes. It protects from abrasion, corrosion, and other reactions from CO2, H2S, water, acid, sunshine, which thereby affect product execution and longevity. Selecting a appropriate FIber Optics depends on performance level, regulatory concerns, economics consideration, and industrial properties requirement.

Global Fiber Optics Market: Overview

Fiber optics (optical fibers) across the diameter of a human hair are long, thin strands of very pure glass. They are arranged in packages called optical cables and used over long distances to relay light signals, which are normally covered in their individual protective plastic covers. Optical cables are used to transfer digital data signals in the form of light up to distances of hundreds of miles with higher throughput rates than those achievable via electrical communication cables. All optical fibers use a core of hair-like transparent silicon covered with less refractive indexed cladding to avoid light leakage to the surroundings.

Fiber optics transmit data in the form of light particles -- or photons -- that pulse through a fiber optic cable. The glass fiber core and the cladding each have a different refractive index that bends incoming light at a certain angle. When light signals are sent through the fiber optic cable, they reflect off the core and cladding in a series of zig-zag bounces, adhering to a process called total internal reflection.

Growth drivers

Increasing demand for internet

The internet is a global system of connected devices. Fiber optics act as the backbone of the Internet; fiber optic cables are used as a medium for the transmission of information from one point to another. According to the International Telecommunications Union (ITU), in 2019, 5.2 % of the world population used the Internet. In 2019, the growth rate of internet users was about 51.2 %. The growing importance of cloud computing, data transfer and storage, and IoT, drives internet use.

IoT is online integration of tools of everyday use (mainly machine-to-machine). The growing number of connected devices will result in increased demand for higher bandwidth, which, in effect, will lead to IoT growth. Data center colocation services that use fiber optics for information transmission can also help to fuel IoT growth coupled with fiber optics via. Industrial fibre cables.

Growing need for FTTx (Fiber to the X)

FTTx is any broadband network architecture that uses fiber optics as the optical medium for transmitting information in a local telecommunications loop. FTTx includes FTTH, FTTP, FTTB, FTTN, FTTC, etc. Due to its ability to handle higher bandwidth at greater speeds, Fiber has emerged as an integral component for network evolution. Communication applications are growing rapidly, with each function needing higher bandwidth and speed.

Network architectures such as FTTH and FTTB are expected to provide high bandwidth for video technology to provide Internet access; this, in effect, will drive the fiber optics market, which serves as the backbone for these network architectures. All these technological advancements in video quality and streaming services are driving growth trends in the fiber optics industry.

Restraint

High initial acquisition & installation costs

High initial acquisition and deployment costs are impeding fiber optics market growth. The optical fiber network contains a range of elements, including optical cables, transmitters, and receivers. Installing the entire system is a labor-intensive operation, in particular installing the underground and undersea connections network is one of the most costly and repetitive procedures.

Fiber optics have overtaken the copper-cable transmission with their advances. However, the installation phase to deploy the optical networks is expected to hamper market development, being an extremely high-cost component.

Global Fiber Optics Market: Cable Type

The global fiber type market based on cable type segmented into single mode and multi-mode. Amidst the category single mode segment projected to 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.

Global Fiber Optics Market: By Optical Fiber Type

On the basis of Optical Fiber Type, the market is segmented into Glass and Plastic. Glass optical fiber, just as its name shows, is an optical fiber made of glass. Being a delicate type of optical fiber, it cannot be cut, spliced or repaired, less resistant to flexibility and accidental breakage. Glass fiber optic cables are extremely versatile and robust and available in a mix of configurations, end fittings and adapter types. Plastic optical fiber, polymer optical fiber or POF, is an optical fiber which is made out of plastic. Traditionally, it comprises of PMMA (acrylic) as the core (96% of the cross section in a fiber 1mm in diameter) that facilitates the transmission of light, and fluorinated polymers as the cladding material.

Global Fiber Optics Market: By Industry Vertical

The global fiber optics market based on industry vertical fragmented into telecom, oil & gas, Military & Aerospace, BFSI, medical and others. The telecom & IT segment dominated the overall market in 2019 and is expected to continue this trend during the forecast period owing to the growth in need for greater bandwidth and faster speed connections. These factors have increased the demand for optical fiber cable and connectors in the telecom sector. Widespread implementation of 5G, increase in adoption of fiber to the home (FTTH) connectivity, and emergence of internet of things (IoT) act as major drivers of the market.

Global Fiber Optics Market: Regional Insights

On the basis of geographic segmentation, the global fiber optics market segmented into North America, Europe, Asia-Pacific, Latin America and Middle East & Africa. Governments of developed countries such as U.S., U.K., Germany, China, and Japan are heavily investing in security infrastructure at country levels. Awareness is growing among the rapidly developing economies that aim to strengthen their hold at the global level. This is eventually necessitating the funding for technologies, majorly across the fiber optics that would enhance the telecommunication sector infrastructure with better security measures and leads to drive growth of Asia-Pacific with lucrative growth rate.

Competitive Landscape

The companies that hold the majority share of FIber Optics Market are Lumentum Holding Inc. , Ciena Corporation , II-VI Incorporated , Nexans S.A , Corning Incorporated , Optical Cable Corporation (OCC) , Leoni AG , The Furukawa Electric Co., Ltd. , Prysmian S.p.A. , Sumitomo Electronics Industries (SEI)  , CommScope, Inc.  , TE Connectivity Ltd.  , Fujikura Ltd.  , Yangtze Optical Fibre and Cable Joint Stock Limited.  , STL and Other Prominent Players.

Recent Development

Ø  March 2020: NeoPhotonics Corporation (NYSE: NPTN), a leading developer and manufacturer of silicon photonics and advanced hybrid photonic integrated circuit based lasers, modules and subsystems for bandwidth-intensive, high speed optical networks, today announced an L-Band suite of coherent optical components, including its 64 GBaud L-Band High Bandwidth Coherent Driver Modulator (HB-CDM), 64 GBaud L-Band Intradyne Coherent Receiver (ICR) and ultra-narrow linewidth L-Band tunable laser Micro-ITLA. Together with NeoPhotonics standard C-Band coherent components, these new products enable customers to double the capacity of optical fiber links.

Ø  March, 2020: Applied Optoelectronics, Inc. (Nasdaq: AAOI), a leading provider of fiber-optic access network products for the internet datacenter, cable broadband, telecom and fiber-to-the-home (FTTH) markets, today announced the release of the 1.8 GHz Cable Plant Signal Generator (CPSG) that can be used to simulate the full channel loading of the next generation cable TV networks.

Scope of the Report

By Cable Type

Ø  Single Mode

Ø  Multi-Mode

Optical Fiber Type

Ø  Glass

Ø  Plastic

By Industry Vertical

Ø  Telecom

Ø  Oil & Gas

Ø  Military & Aerospace

Ø  BFSI

Ø  Medical

Ø  Others (Industrial/Commercial, Data Storage, Energy & Utility etc.)

By Region:  

Ø  North America

Ø  Europe

Ø  Asia Pacific

Ø  Latin America

Ø  Middle East & Africa

The objective of the Study:

Ø  To analyze and forecast the global Fiber Optics Market size of the market in terms of value.

Ø  To examine the careful market segmentation and forecast the market size, in terms of value, based on the region by segmenting.

Ø  The Global Fiber Optics Market segmented into five regions, namely, North America, Europe, Asia Pacific, Latin America, Middle East & Africa and their leading countries.

Ø  To outline, categorized, and forecast the global Fiber Optics Market based on Cable Type, By Optical Fiber Type, and By Industry Vertical.

Ø  To examine competitive developments like technological advancement, services, and regulative framework within the global Fiber Optics Market.

Ø  To highlight the impact analysis of the factors affecting the market dynamics such as drivers, restraints, opportunities, and challenges.

Ø  To strategically profile the key players and comprehensively analyze their market shares along with detailing the competitive landscape for market leaders.

SCOPE           

1.    Research Framework

1.1. Research Objective

1.2. Product Overview

1.3. Market Segmentation

2.    Research Methodology

2.1. Qualitative Research

2.1.1.   Primary & Secondary Sources

2.2. Quantitative Research

2.2.1.   Primary & Secondary Sources

2.3. Breakdown of Primary Research Respondents, By Region

2.3.1.   Secondary Research

2.3.2.   Primary Research

2.4. Breakdown of Primary Research Respondents

2.5. Market Size Estimation

2.6. Assumption for the Study

2.7. Market Breakdown & Data Triangulation

3.    Executive Summary

4.    Global Fiber Optics Industry Insights

4.1. Industry Value Chain Analysis

4.2. DROC Analysis

4.2.1.   Growth Drivers

4.2.2.   Restraints

4.2.3.   Opportunities

4.2.4.   Challenges

4.3. Technological Landscape/Recent Development

4.4. Regulatory Framework

4.5. Company market share analysis, 2018

4.6. Porter’s Five forces analysis

4.6.1.   Bargaining Power of Suppliers

4.6.2.   Bargaining Power of Buyers

4.6.3.   Threat of New Entrants

4.6.4.   Threat of Substitutes

4.6.5.   Intensity of Rivalry

5.    Global Fiber Optics Market Overview

5.1. Market Size & Forecast by Value, 2016-2026

5.1.1.   By Value (USD Billion)

5.2. Market Share & Forecast 2016-2026

5.2.1.   By Cable Type

5.2.1.1.       Single Mode

5.2.1.2.       Multi-Mode

5.2.2.   By Optical Fiber Type

5.2.2.1.       Glass

5.2.2.2.       Plastic

5.2.3.   By Industry Vertical

5.2.3.1.       Telecom

5.2.3.2.       Oil & Gas

5.2.3.3.       Military & Aerospace

5.2.3.4.       BFSI

5.2.3.5.       Medical

5.2.3.6.       Others (Industrial/Commercial, Railway, Data Storage, Energy & Utility etc.)

5.2.4.   By Region

5.2.4.1.   North America

5.2.4.2.   Europe

5.2.4.3.   Asia Pacific

5.2.4.4.   Latin America

5.2.4.5.   Middle East & Africa

6.    North America Fiber Optics Market

6.1. Market Size & Forecast by Value, 2016-2026

6.1.1.   By Value (USD Billion)

6.2. Market Share & Forecast 2016-2026

6.2.1.   By Cable Type

6.2.2.   By Optical Fiber Type

6.2.3.   By Industry Vertical

6.2.4.   By Country

6.2.4.1.         U.S

6.2.4.2.         Canada

7.    Europe Fiber Optics Market

7.1. Market Size & Forecast by Value, 2016-2026

7.1.1.   By Value (USD Billion)

7.2. Market Share & Forecast 2016-2026

7.2.1.   By Cable Type

7.2.2.   By Optical Fiber Type

7.2.3.   By Industry Vertical

7.2.4.   By Country

7.2.4.1.     Germany

7.2.4.2.     U.K

7.2.4.3.     France

7.2.4.4.     Italy

7.2.4.5.     Rest of Europe

8.    Asia Pacific Fiber Optics Market

8.1. Market Size & Forecast by Value, 2016-2026

8.1.1.   By Value (USD Billion)

8.2. Market Share & Forecast 2016-2026

8.2.1.   By Cable Type

8.2.2.   By Optical Fiber Type

8.2.3.   By Industry Vertical

8.2.4.   By Country

8.2.4.1.     China

8.2.4.2.     India

8.2.4.3.     Japan

8.2.4.4.     Rest of Asia Pacific

9.    Latin America Fiber Optics Market

9.1. Market Size & Forecast by Value, 2016-2026

9.1.1.   By Value (USD Billion)

9.2. Market Share & Forecast 2016-2026

9.2.1.   By Cable Type

9.2.2.   By Optical Fiber Type

9.2.3.   By Industry Vertical

9.2.4.   By Country

9.2.4.1.     Brazil

9.2.4.2.     Argentina

9.2.4.3.     Rest of Latin America

10.Middle East & Africa Fiber Optics Market

10.1. Market Size & Forecast by Value, 2016-2026

10.1.1.    By Value (USD Billion)

10.2. Market Share & Forecast 2016-2026

10.2.1.                By Cable Type

10.2.2.                By Optical Fiber Type

10.2.3.                By Industry Vertical

10.2.4.  By Country

10.2.4.1.      Saudi Arabia

10.2.4.2.      UAE

10.2.4.3.      South Africa

10.2.4.4.      Rest of Middle East & Africa

11.Company Profile (Company Overview, Financial Matrix, Key Technology landscape, Key Personnel, Key Competitors, Contact Address) *

11.1.           Lumentum Holding Inc.

11.2.           Ciena Corporation

11.3.           II-VI Incorporated

11.4.           Nexans S.A

11.5.           Corning Incorporated

11.6.           Optical Cable Corporation (OCC)

11.7.           Leoni AG

11.8.           The Furukawa Electric Co., Ltd.

11.9.           Prysmian S.p.A.

11.10.        Sumitomo Electric Industries, Ltd.

11.11.        CommScope, Inc.

11.12.        TE Connectivity Ltd.

11.13.        Fujikura Ltd.

11.14.        Yangtze Optical Fibre and Cable Joint Stock Limited.

11.15.        Sterlite Technologies Limited

11.16.        Other Prominent Player

*Financial Details Not Be Captured in Case of Unlisted Companies

**The segmentation and the companies are subjected to modifications based on in-depth secondary for the final deliverable