The global fiber optics market is estimated to be USD 3,748.3 million in 2017 and is estimated to grow at a CAGR of around 7% during the forecast period. The increasing adoption of cloud computing, IoT, and data transfer & storage has resulted in high usage of internet thus, influencing the market for fiber optics. Further, the penetration of internet is also driven by increasing demand for connected devices, access to internet, and increase in rise for OTT video content. Such factor are responsible for propelling the growth of fiber optics market. Additionally, emergent opportunities in the healthcare industry coupled with increasing funds by the government for developing network infrastructure are the factors fueling the Fiber Optics Market growth.
The fiber optics market is anticipated to notice a prosperous growth during the projected period attributed to factors including, increasing capital investments and research by the key industry players for the development and upgradation of optical technology applications. Also, due to increased awareness regarding the advantages of technology adoption has driven the growth of the fiber optics Market. The importance of fiber optics has increased over the recent past with determined R&D activities and the intensifying high bandwidth communication demand.
The application segment is categorized into telecommunications, military & aerospace, oil & gas, BFSI, railway, medical, and other applications. Among these, the telecommunications is anticipated to be the leading segment. However, medical as well as military & aerospace are expected to experience high growth owing to the increased adoption of fiber optics by these applications. Furthermore, strict regulations and standards levied by the medical associations and government are also influencing the market growth in the medical application.
On the basis of type, the singlemode as well as multimode segment are dominating the market and are anticipated to witness constant growth throughout the forecast period. Although, capital investment for developing new fabrication technologies is expected to hinder the market growth and is considered as a key restraint. Moreover, Plastic optic fiber is also expected to witness highest growth among all the types as it offers cost-savings.
The North America fiber optics market is currently leading with the largest market share among geographies. However, the Fiber Optics Market is experiencing a high growth in Asia Pacific region attributed to increased advancements in technology owing to high adoption of fiber optics by the administrative as well as IT & Telecommunications sector. Also, highly flourishing manufacturing industry of the region and their adoption of fiber optics is another factor adding to the market growth.
Some of the major players operating in the fiber optics market include Corning Incorporated, Prysmian S.p.A., Optical Cable Corporation, OFS Fitel, LLC, AFL, Furukawa Electric, Sterlite Technologies Limited, Finolex Cables Ltd., YOFC and General Cable Corporation among others. Introduction of new products and mergers & acquisitions are the key strategies that the market players are adopting to compete in the market efficiently.