Fiber Optic Cable Market to grow to $ 22.56 billion by 2030: Report Covers Global Analysis by Fiber Type, Cable Type, Application Growth and Forecast (2024-2030) | MMR

The Fiber Optic Cable Market size was valued at USD 11.62 Billion in 2023 and the total Fiber Optic Cable Market revenue is expected to grow at a CAGR of 9.94% from 2024 to 2030, reaching nearly USD 22.56 Billion.
Fiber Optic Cable Market Overview:
Fiber optic cables mostly include glass or plastic threads of wires with the facility to transfer data at high speeds. It is selected by telecommunication companies and consumers owing to its high data volume capacity. The lightweight nature of these cables related with their low vulnerability to noise and intrusion makes it well-valued. Substantial adoption of fiber optic cables under the sea influenced towards growth of fiber optic cable market owing to increased utilization of deployed fiber, improved network capacity, and development in spectral efficiency. Furthermore, major benefit of fiber optic cables under sea is that large amounts of data are conducted rapidly and evolve to permit development of new technologies.

Global OFC Projects: Past 3 Years:



Sr.No
Project Name
Details


1.
Arsinoe
CYTA Ltd, the leading telecommunications provider in Cyprus, began work on the Arsinoe submarine cable in November 2020. The project linked the Mediterranean island nation to France and Egypt using fiber optic cabling that significantly improved connectivity for Cyprus. The project was completed in March 2022.


2.
Djoliba
Djoliba, a hybrid terrestrial fiber-optic network spliced with a new submarine cable system boosted Internet access across West Africa. Djoliba connected Nigeria with Burkina Faso, Côte d’Ivoire, Ghana, Guinea, Liberia, Mali, and Senegal. The Djoliba network covers 16 points of presence with a grid of nearly 155 technical sites and connects 300 points of presence in Europe, America, and Asia.


3.
CrossChannel
The cutting-edge 550km cable was the first fiber-optic subsea cable to be built across the English Channel in two decades. The cable contains 96 fiber pairs, each providing more than 20Tb/s of capacity, and connects Slough, in the UK with Paris.


4.
Ghar Tak Fiber Scheme
The government announced nine national highway projects worth over Rs 14,258 crore in Bihar in September 2020 and launched optical fiber Internet services to connect the state's all 45,945 villages.



The increasing adoption of the Internet and wireless communication in modern life has led to a dramatic increase in demand for broadband transmission capacity. As individuals and organizations have grown increasingly linked, more and more daily lives and work has moved online, from e-mail communication to internet retail and live video to cloud computing and business analysis based on 'Big Data.' In less than two decades, billions of people's lives have become more dependent on rapid broadband connectivity. To fulfill this need, telecommunications companies have begun to use fiber-optic cables for data transmission, first at the center of their networks and then progressively spreading fiber-optics even broader. As a result, fiber-optic networks have become the unavoidable cornerstone of today's hybrid communication network comprising fixed-line and mobile infrastructure, as well as data centers.

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Fiber Optic Cable Market Dynamics:
Growing Demand in FTTx and Telecommunication Industry to Boost Fiber Optic Cable Market

In terms of FTTx, the market for fiber to the neighborhood or node (FTTn) or fiber to the antenna (FTTa) is poised to have substantial growth during the forecast period. This is primarily due to the rising implementation of these architectures across telecommunication networks and the growing usage of optical fiber in mobile backhaul for communication. The 5G technology penetration, additionally, is requiring lower latency and enhanced capacity straight to networks. Thus, the scalability, security, and ability to handle the vast amount of backhaul traffic being generated has made fiber optic cable the preferred option for 5G. Over the next few years, as the internet subscribers globally, need higher internet bandwidth to access applications, such as feature-length movies, software as a service (SaaS), IoT, smart TV/internet TV, and video on demand (VoD), among others, the reliance of telecommunications industry on fiber optic cables is expected to increase. However, previously, the long-term evolution (LTE) led to the growth of internet video communication which subsequently led to need for higher bandwidth internet connectivity, and thus drove the demand for the Fiber Optic Cable Market.

High Demand for Wireless Solutions and Complex Installation Process

The demand for greater connectivity in the developing countries presents significant commercial opportunities for those involved in fiber optics manufacturing. However, factors, like the increasing demand for wireless solutions and the complexity involved in the installation of fiber optic cables, pose a variety of operational challenges for the fiber optic cable market. The growth of wireless solutions is spurred by the rapid technological developments that led to the development of high -performance smartphones and new operating systems. Some other factors that are expected to boost the growth of the adoption of wireless solutions include the tremendous increase in the number of applications requiring high bandwidth and speed, increasing inclination toward social media and e-commerce, and increasing globalization. One of the biggest features of wireless is faster than fiber by having a lower latency. Unlike in wireless where information is sent in a straight-line signal, the refraction, twists and turn the fiber line slow the light signal. This difference is only a matter of milliseconds, but to businesses that dealing with a high number of transactions or relying on VOIP communication, this can prove to be costly.

Technological Advancements to Boost the Fiber Optic Cable Market Growth Opportunitiy

The Fiber Optic Cable Market continues to expand with advancements in technology and increasing demand for greater speed and efficiency. Fiber optic cables consist of either one or many thin strands of glass, protected by a flexible, transparent sheath. Instead of using electrical pulses, this technology relies on pulses of light, offering unparalleled performance capabilities. The newest transatlantic cable exemplifies this capability, transmitting 100 hours of digital video or 30 million phone calls across oceans in a single second.

Developments in fiber optic technology support this growth. Devices like optical couplers and optical switches facilitate AON, or all-optical networks, enabling data transmission over longer distances without electrical processing. Wavelength division multiplexing (WDM) further enhances bandwidth capacity by allowing multiple carriers to transmit optical signals simultaneously. Another innovation, radio over fiber (ROF), permits the transmission of radio frequencies through optical fibers, free from electromagnetic interference. These advancements promise to revolutionize industries such as aviation, public works projects, stadium and commercial building construction, driving significant interest and investment in the fiber optic cable market.

Overcoming Infrastructure Barriers: Challenges in the Fiber Optic Cable Market

The rollout of maximum broadband faces significant barriers, primarily due to environmental factors. Rural areas, unlike densely populated cities, feature diverse geographical landscapes. Beneath the surface, installers encounter various materials, often including rock formations. Strategies for addressing these challenges, particularly in regions with mountains or frequent severe weather, are still evolving. Moreover, the acquisition or rental costs of large-scale equipment required for clearing obstacles like underwater cables or rocks may exceed the financial capabilities of many carriers.

Expanding 5G Infrastructure: Fiber Optic Cable Market Opportunities

The widespread adoption of 5G technology in both developed and developing countries presents a promising opportunity for fiber optics suppliers in the market. Optical fibers play a critical role in establishing robust 5G infrastructure, facilitating rapid data transmission over long distances. Telecom operators are prioritizing the installation of new 5G base stations as commercial 5G services expand, aiming to gain a competitive edge in the Fiber Optic Cable Market.
Fiber Optic Cable Market Segment Analysis
Based on Fiber Type, the Glass segment, accounting for the largest revenue share of 88.3% in 2023, represents a pivotal aspect of the Fiber Optic Cable Market. Glass optical fibers have a greater numerical aperture than plastic optical fibers, allowing more light rays to enter the system. They have a significantly larger range, running from 200 to 2200nm. Glass fiber optics' exceptional performance in demanding situations with severe temperatures and corrosive chemicals, as well as its ability to transmit both visible and infrared light, are important reasons driving the growth of the fiber optic cable market.



By Cable Type, the single-mode category is expected to have a large fiber optic cable market share of nearly 65% by 2030. A single-mode fiber optic cable has a lower core diameter of around 9 m as compared to a multi-mode fiber optic cable with a core diameter of 50 m or greater. When compared to multi-mode fibers, single-mode fiber optic cables can transmit signals at significantly higher speeds and over much longer distances. Single-mode fiber optics cable's supremacy is mostly owing to rising demand from long-distance transmission applications. Telecom businesses often utilise single-mode fibers for long-distance and high-bandwidth requirements. They are also utilised by cable television providers, as well as schools and institutions.

In terms of Application, the IT & Telecommunication application segment dominated the fiber optic cable market in 2023 and is expected to grow the CAGR of 10.5% over the forecast period. The increased deployment of fiber optics in the telecom sector is largely responsible for the high market share. Fiber optics is used in the telecom industry for a variety of reasons, including point-to-point communication, entertainment, content delivery networks, access to Internet-enabled services, crucial communication, and news & infotainment. Its rise is attributed to factors such as a rising Internet user base, low-cost services provided by service providers, the availability of low-cost communication equipment, and an increasing number of subscribers for different wireless and fixed-point communication devices.
Fiber Optic Cable Market Regional Analysis:
In 2023, the Asia Pacific region led the global market with a substantial revenue share of 38.12%. This growth is fueled by advancements in technology, widespread adoption in IT & telecommunications, government sectors, and the expansion of fiber-integrated infrastructure.

Meanwhile, in the United States, approximately 91.9 million kilometers of fiber optic cable were deployed across the country in 2022. The increasing demand for Internet of Things (IoT) devices and connected technologies, coupled with the rapid deployment of broadband networks such as Fiber to the Premise, Fiber to the Building, Fiber to the Home, and Fiber to the Cabinet, further bolster the growth of fiber optics in this region. Furthermore, the rising popularity of connected wearables, smartphones, and tablets in North America has significantly boosted the demand for fiber optic networks, thereby driving the need for fiber optic cables.

Key Developments (Global and India): Fiber Optic Cable Market

Global Fiber Optic Cable Market Development:

1. Fiber optic technology is evolving in tandem with the rising need for better speed and efficiency. New equipment, such as optical couplers and optical switches, are enabling the All-Optical Networks (AON) trend. This innovative technology enables data to be sent rapidly without requiring any electrical processing, resulting in longer transmission lengths. Another recent advancement is ROF, or Radio-over-Fiber, which allows radio signals to be sent across optical fibres. Electromagnetic interference has no effect on radio frequencies, which offers enormous potential for development in the aviation sector as well as public works projects, arena construction, and corporate building construction.

2. Fiber cable ventures emerge regularly. Various towns throughout the world are beginning to contemplate adopting fiber optic cables for their communication networks, according to Forbes. San Francisco has committed to building a city-wide fiber-optic network, making it the first large city in America to do so. This initiative, if completed successfully is expected to be a significant step toward internet paradise.

3. Another network operator plans to lay 8,000 miles of subterranean underwater fiber optic cable from Los Angeles to Hong Kong to meet the rising demand for Facebook and Google. Google introduced the network as part of the Pacific Light Cable Network. Google stated at the time that the cable will cover the Pacific Ocean and connect Los Angeles to Hong Kong, Taiwan, and the Philippines. According to Google, it is designed to handle 120 gigabytes of data every second or 80 million HD videoconference calls between Los Angeles and Hong Kong.



India Fiber Optic Cable Market Development:

1. To meet the rising demand for high-speed data transmission, the Indian government, in collaboration with commercial telecom firms, is investing heavily in modernizing the country's communication infrastructure. By 2025, the goal is to have optical fiber installed in all 600,000 Indian villages, including those in rural places. The government has put aside a total of 19,041 Crores for viability gap financing, which indicates that the government would offer funding assistance for any section of the project as and when it is required. The extended BharatNet initiative would cover over 3.6 lakh villages across 16 states across the country.

2. Government investment in telecommunications infrastructure and services in the nation has increased sixfold in recent years, from Rs 9,900 crores (USD 1.41 billion) in 2009-14 to Rs 60,000 crores (USD 8.55 billion) (actual + projected) in 2014-19. The country's optical fiber cable (OFC) coverage has also more than increased, from 700,000 km to 1.4 million km.

3. In addition to the Centre's ambitious BharatNet program, private and public sector entities such as Reliance Jio, Bharti Airtel, Vodafone Idea, Bharat Sanchar Nigam Limited (BSNL), Mahanagar Telephone Nigam Limited (MTNL), and RailTel contribute significantly to the country's current fiber footprint. Reliance Jio, controlled by billionaire Mukesh Ambani, and Bharti Airtel, led by Sunil Mittal, have previously sold off their fiber divisions to become financially agile pure-play telecom services firms.
Fiber Optic Cable Market Scope: Inquiry Before Buying



Global Fiber Optic Cable Market


Report Coverage
Details


Base Year:
2023
Forecast Period:
2024-2030


Historical Data:
2018 to 2023
Market Size in 2023:
US $ 11.62 Bn.


Forecast Period 2024 to 2030 CAGR:
9.94%
Market Size in 2030:
US $ 22.56 Bn.


 Segments Covered:
by Fiber Type
Glass
Plastic


by Cable Type
Single-mode
Multi-mode


by Application
IT and Telecom
BFSI
Defense and Aerospace
Manufacturing
Healthcare
Other



Fiber Optic Cable Market, by Region
North America (United States, Canada and Mexico)
Europe (UK, France, Germany, Italy, Spain, Sweden, Austria and Rest of Europe)
Asia Pacific (China, South Korea, Japan, India, Australia, Indonesia, Malaysia, Vietnam, Taiwan, Bangladesh, Pakistan and Rest of APAC)
Middle East and Africa (South Africa, GCC, Egypt, Nigeria and Rest of ME&A)
South America (Brazil, Argentina Rest of South America)
Fiber Optic Cable Market, Key Players:
American Fiber Optic Cable Market Top Players:
1. Corning Inc (USA)
2. W.L. Gore & Associates (USA)
3. Finisar (USA)
4. Hitachi Cable (USA)
5. Reflex Photonics (Canada)
6. Coherent (USA)
7. Rockwell Collins (USA)
8. CommScope (USA)
Europe Fiber Optic Cable Market Top Players:
1. Nexans (France)
2. Leoni (Germany)
3. Prysmian (Italy)
Asia Pacific Fiber Optic Cable Market Top Players:
1. Furukawa Electric (Japan)
2. Tongding Group (China)
3. LS Cable & System (South Korea)
4. Sterlite Technologies (India)
5. Yangtze Optical Fibre and Cable (China)
6. Hengtong Group (China)
7. Nestor Cables (India)
8. Fujikura (Japan)
9. Sumitomo Electric Industries (Japan)

Frequently Asked Questions:

1] Which region is expected to hold the largest market share in the global Fiber Optic Cable Market?
Ans. The Asia Pacific region is expected to hold the largest market share in the Fiber Optic Cable Market during the forecast period.

2] Which cable type segment is expected to dominate the global Fiber Optic Cable Market during the forecast period?
Ans. The multi-mode segment is expected to dominate the global Fiber Optic Cable Market during the forecast period.

3] What are the major key players of the global Fiber Optic Cable Market?
Ans. The major key players of the global Fiber Optic Cable Market are Corning Inc., W.L. Gore & Associates, Sumitomo Electric Industries Ltd, Finisar Corporation (II-VI Incorporated), Hitachi Cable America Inc. (Hitachi Cable), Reflex Photonics Inc., Nexans SA, among others.

4] Which fiber type segment is expected to hold the largest market share in the global Fiber Optic Cable Market?
Ans. The glass segment is expected to dominate the global Fiber Optic Cable Market during the forecast period.

5] Which application segment is expected to dominate the global Fiber Optic Cable Market during the forecast period?
Ans. The IT and telecom segment is expected to dominate the global Fiber Optic Cable Market during the forecast period.