PUBLISHER: The Business Research Company | PRODUCT CODE: 1659055
PUBLISHER: The Business Research Company | PRODUCT CODE: 1659055
Fiber optic components form the integral parts necessary for constructing fiber optic cables, enabling the transmission of information across extensive distances.
These components encompass various categories like cables, active optical cables, amplifiers, splitters, connectors, circulators, transceivers, and others. Cables represent assemblies of thick wires enclosed within rubber or plastic sheathing, functioning as conductors for transmitting optical or electrical signals. These cables are pivotal for high-performance networking and connectivity over long distances. The fibers utilized in these components are composed of materials like glass and plastic, catering to diverse applications such as distributed sensing, analytical and medical equipment, lighting, and communication networks.
The fiber optical components market research report is one of a series of new reports from The Business Research Company that provides fiber optical components market statistics, including fiber optical components industry global market size, regional shares, competitors with a fiber optical components market share, detailed fiber optical components market segments, market trends and opportunities, and any further data you may need to thrive in the fiber optical components industry. This fiber optical components market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The fiber optic components market size has grown strongly in recent years. It will grow from $28.14 billion in 2024 to $30.53 billion in 2025 at a compound annual growth rate (CAGR) of 8.5%. The growth in the historic period can be attributed to internet revolution and data demand, advancements in fiber optics, global connectivity requirements, emergence of cloud computing, government initiatives and investments.
The fiber optic components market size is expected to see rapid growth in the next few years. It will grow to $45 billion in 2029 at a compound annual growth rate (CAGR) of 10.2%. The growth in the forecast period can be attributed to internet of things (IoT) growth, data center expansion, smart city initiatives, rise in remote working trends, renewable energy connectivity. Major trends in the forecast period include mobile and wireless technologies, 5g network expansion, advancements in optical networking, rapid digital transformation, and increased bandwidth requirements.
The increasing demand for the internet is anticipated to drive the growth of the fiber optic components market. The internet is a global interconnected network system that facilitates communication and access to data resources. Fiber optic technology serves as the backbone of the internet, providing a medium to transmit vast amounts of information at high speeds over long distances. For example, in October 2023, a report published by the International Telecommunication Union (ITU), a specialized UN agency based in Switzerland, indicated that approximately 67% of the global population, equating to 5.4 billion people, are currently online. This represents a 4.7% increase since 2022, compared to a 3.5% rise from 2021 to 2022. The number of individuals expected to remain offline is projected to decrease to around 2.6 billion, or 33% of the population, by 2023. Consequently, the growing demand for internet connectivity is fueling the fiber optic components market.
The growth of smart cities is anticipated to boost the fiber optic components market. Smart cities are defined as administrative areas that utilize information and communication technology (ICT) to enhance operational efficiency and provide improved infrastructure for their residents. Fiber optic components play a crucial role in the development of smart cities by facilitating seamless data exchange among various sensors, devices, and control centers. For example, in February 2024, a report from the Institute of the Americas, a US-based inter-American organization, projected that global expenditure on smart city initiatives would surpass $190 billion by the end of 2023. This spending includes smart buildings, which are expected to account for one-third of industrial IoT connections, and smart utilities, which will represent 23% by 2025. While Latin America currently contributes less than 10% of global spending, it is increasingly involved in smart city projects. Therefore, the rise in smart city initiatives worldwide is driving growth in the integrated facility management market.
Product innovation is a significant trend in the fiber optic components market. Key players in this sector are focused on developing new technological advancements to enhance their competitive edge. For example, in June 2024, Integra Optics, a US-based provider of carrier-grade fiber optic components, introduced its new SFP+ 10/2.5 G BiDi transceiver, specifically designed for XGSPON OLT applications. This product streamlines network infrastructure by eliminating the need for external WDM equipment, which reduces construction and maintenance costs while enabling high-speed data rates of 10/2.5 Gbps over a single fiber strand for distances up to 20 kilometers. Furthermore, it provides a smooth upgrade pathway from GPON to XGS-PON without necessitating changes to the existing infrastructure, making it an ideal solution for broadband access and fiber-to-the-home networks.
Major companies in the fiber optic components sector are directing their efforts toward developing advanced technologies like photonics analyzers. Santec's launch of the Swept Photonics Analyzer (SPA-100) in February 2023 showcases significant technological advancements. Employing Optical Frequency Domain Reflectometry (OFDR), the SPA-100 enables precise testing of small-scale fiber optic and photonic devices, providing exceptional spatial resolution. This technology proves beneficial for evaluating compact fiber optic assemblies, silicon photonic circuits, and other miniature devices with high accuracy.
In August 2022, Lumentum Holdings Inc., a prominent US-based manufacturer and designer specializing in innovative optical networking and photonic products, successfully acquired NeoPhotonics Corporation for an undisclosed sum. This strategic acquisition strategically combines resources, fostering an opportunity for the development of high-speed optical components tailored for telecom networks and cloud infrastructure. The integration is poised to empower Lumentum in expanding and fortifying its photonics capabilities, driving innovation in product development and technology portfolios. NeoPhotonics Corporation, also based in the US, is recognized for its expertise in manufacturing and developing lasers and optoelectronic solutions specifically designed for internet and telecom networks. Through this acquisition, Lumentum aims to leverage NeoPhotonics' specialized technologies and solutions, enhancing its position and advancing its offerings in the rapidly evolving landscape of optical networking and photonics technologies.
Major companies operating in the fiber optic components market are Coherent Corp., Lumentum Holdings Inc., Broadcom Inc., Sumitomo Electric Industries Ltd., Accelink Technologies Corporation, EMCORE Corporation, Fujitsu Optical Components Limited, The Furukawa Electric Co. Ltd., O-Net Technologies (Shenzhen) Group Co. Ltd., Reflex Photonics Inc., TE Connectivity Ltd., Fiber Mountain, MW Technologies LDA, Shenzhen Nokoxin Technology Co. Ltd., Amphenol Corporation, II-VI Incorporated, Prysmian Group, Yangtze Optical Fibre and Cable Joint Stock Limited Company, Fujikura Ltd., Corning Incorporated, Infinera Corporation, Ciena Corporation, FiberHome Telecommunication Technologies Co. Ltd., ZTE Corporation, Huawei Technologies Co. Ltd.
Asia-Pacific was the largest region in the fiber optic components market share in 2024, and is expected to be the fastest-growing region in the forecast period. The regions covered in the fiber optic components market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the fiber optic components market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The fiber optic components market consists of sales of cladding, coating, core, cable jacket, and strengthening fibers. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Fiber Optic Components Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on fiber optic components market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for fiber optic components ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The fiber optic components market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.