Fiber Optics Market by Fiber Type (Glass, Plastic), Cable Type (Single-mode, Multi-mode), Deployment (Underground, Underwater, Aerial), Application (Communication, and non-communication) and Region – Global Forecast to 2029
Fiber Optics Market Size Share Industry growth and Trends
[233 Pages Report] The fiber optics market is expected to grow from USD 3.2 billion in 2024 to reach USD 6.8 billion by 2029; it is expected to grow at a CAGR of 16.4% from 2024 to 2029. The growing penetration of 5G across developed and developing economies is expected to bring opportunities for fiber optics vendors. 5G infrastructure is dependent on optical fiber communication. These optical fibers can transfer data at high transmission rates from one location to another. Government initiatives in developing countries are working to prioritize fiber optic connectivity. For example, out of ~1.5 billion people in Africa, only 350 million have internet coverage. Less than 10% of these connections are with fiber networks. The government in the region is now focusing on deploying fiber networks to improve healthcare and education, among other services.
Fiber Optics Market Forecast to 2029
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Impact of AI on the Fiber Optics Market
Fiber Optics Market Trends & Dynamics
Driver: Rising number of data center facilities worldwide
The rising deployment of data center facilities worldwide is expected to drive the growth of the fiber optics market. Data centers require high bandwidth, wide-area coverage, low power consumption, and end-to-end connectivity between two facilities. Fiber optics plays a significant role in connecting two or more data centers located thousands of kilometers apart; they help transmit large volumes of data over long distances with low latency and higher transmission rates. The data is directly transmitted using light pulses across a fiber optics network, which further helps reduce the power consumption in data centers.
Restraint: Probe to physical damage and transmission loss
Fiber optics are prone to transmission losses and are expensive are fragile. They are so small that they can be easily damaged during renovation or relink. Fiber optic networks are also prone to fiber fuse, as too much light can damage the fiber cable quickly. Any material wrapped around the cable can also cut off the transmission. The fiber optic cables are delicate, they need robust and protective sheathing to suit the environment where they are installed.
Opportunity: Rising demand for fiber optics as replacement of copper cables
Fiber optics technology was invented mainly to replace the copper cables. As copper cables are heavy and bulky, they are difficult to manage physically. Furthermore, electromagnetic interference (EMI) limits copper’s performance and reliability because of the nature of electrical signals. In optical communications, fiber optics and shielded end casings are used, which help provide immunity to electromagnetic and radio-frequency interference. Moreover, the weight of fiber optics solutions is very low compared with copper cables. Therefore, there are fewer chances of switch ports being damaged. In addition, they require less maintenance and have better server utilization. With the increasing network traffic, customers are adding transmission bandwidth to existing optical networks or purchasing and deploying additional systems to address bandwidth demands. This is further expected to support the fiber optics market growth in the near future.
Challenge: Installing fiber optics networks in difficult terrains and high cost of installation
Underground fiber optic cables are placed mainly on highways and city streets. Planning a fiber route becomes difficult in an area where a new building or commercial site comes without authorization. Several Mobile Network Operators (MNOs) have noted more complex requests for information reduction use, allowance for discovery, unreasonable charges for using return order wire (ROW), unsolicited requests for redress, and the installation of resources across expensive and time-consuming municipal boundaries.
Fiber Optics Market Map:
Glass segment to have the highest share of fiber optics market by 2029
The glass segment is expected to have the highest market share of the fiber optics market by 2029. The segment is expected to grow at the second-highest rate during the forecast period. Glass optical fiber has a huge numerical aperture compared to plastic, allowing more light rays into the system. The transfer range of single-mode fiber is in the range of 200–2,200 nm. The efficient performance of glass fiber optics in adverse environments with high temperatures and corrosive chemicals, and their ability to transmit both visible and infrared light are significant factors for the growth of this segment.
Single-mode segment is expected to account for the high market share from 2024 to 2029.
Single-mode segment is expected to account for a high market share during the forecast period. A single-mode fiber optic cable is 9 µm in diameter. This mode of fiber optic cables can carry signals at a much greater speed and over longer distances than multi-mode fibers. Single-mode fiber optics cable dominance is mainly due to their increased demand from long-distance transmission applications. Telecom companies typically use single-mode fibers for long-distance and high-bandwidth requirements. They are also used by Cable Antenna Television (CATV) companies, as well as colleges and universities.
The underground segment is projected to hold significant share in the fiber optics market during the forecast period.
Underwater deployment is a process where fiber optics are installed in subsea or submarine optical cable networks. Underwater or submarine fiber optic cables are laid on ocean beds to connect various regions and continents for communication applications. The surge in the global demand for increased bandwidth and the rise in telecom subscriptions and internet connections worldwide are the major factors driving the underwater deployment of optical fibers.
Market for non-communication application segment to grow significantly throughout the forecast period
Non-communication applications include the use of fiber optics in sensors and fiber optic lighting. Sensors is the largest application of fiber optics in the non-communication segment. The demand from various industries such as oil & gas, aerospace, military, and automotive mainly drives the demand for fiber optics in this segment. Fiber optics possess unique characteristics of illumination and glowing when a ray of light is passed through them. These optics are witnessing high adoption in lighting applications across museums, art galleries, and pools.
Fiber optics market in China is expected to dominate in 2029
China is expected to have a dominating market share in the Asia Pacific region in 2029. It has built about 500 AI-powered smart cities in the country. The rise in the number of smart cities is further expected to increase the demand for applications like smart utilities, smart transportation, smart buildings, and communication infrastructure—that invariably require fiber optic solutions. Also, rapid commercialization of 5G services across China, South Korea, and Japan is expected to create significant opportunities for the fiber optics market in the region.
Fiber Optics Market by Region
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Top Companies Fiber Optics - Key Market Players
Key players in the fiber optics companies are Corning Incorporated (US), Prysmian Group (Italy), Sumitomo Electric Industries, Ltd. (Japan), Yangtze Optical Fibre and Cable Joint Stock Limited Company (China), Fujikura Ltd. (Japan), Hengtong Group Co., Ltd. (China), Furukawa Electric Co. Ltd. (Japan), LEONI Fiber Optics GmbH (Germany), LS Cable & System Ltd. (South Korea), and Proterial Cable America Inc. (US).
Scope of the Fiber Optics Market Report
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Report Metric |
Details |
| Estimated Market Size | USD 3.2 billion in 2024 |
| Projected Market Size | USD 6.8 billion by 2029 |
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Fiber Optics Market Growth Rate
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at a CAGR of 16.4% |
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Market size available for years |
2020–2029 |
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Base year |
2023 |
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Forecast period |
2024–2029 |
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Segments covered |
Fiber Type, Cable Type, Deployment, Application, and Region |
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Regions covered |
North America, Europe, Asia Pacific, and RoW |
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Companies covered |
The major market players include Corning Incorporated (US), Sumitomo Electric Industries, Ltd. (Japan), Prysmian Group (Italy),Yangtze Optical Fibre and Cable Joint Stock Limited Company (China) and Fujikura Ltd. (Japan), LEONI (Germany), LS Cable & System Ltd. (South Korea), Hengtong Group Co., Ltd. (China), Furukawa Electric Co. Ltd. (Japan), Optical Cable Corporation (US), LS Cable & System Ltd. (South Korea), Proterial Cable America Inc., (US), Coherent Corporation (US), Finolex Cables Ltd. (India), CommScope Holding Company, Inc. (US), Sterlite Technologies Limited (India), ZTT (China), FiberHome Telecommunication Technologies Co., Ltd. (China), Aksh Optifibre (India), Art Photonics GmbH (Germany), RPG Cables (India), Nestor Cables (Finland), Orbis Oy (Finland), Birla Cable Ltd. (India), Belden Inc. (US), and Fiber Mountain (US) players have been covered. |
Fiber Optics Market Highlights
This research report categorizes the fiber optics market based on fiber type, cable type, deployment, application, and region.
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Segment |
Subsegment |
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By Fiber Type : |
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By Cable Type : |
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By Deployment : |
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By Application : |
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By Region: |
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Recent Developments
- In April 2024, Prysmian Group will acquire Warren & Brown Technologies. The acquisition will help Prysmian Group to strengthen its enterprise solutions for the telecommunication market.
- In June 2023, Corning Incorporated announced a joint venture with SGD Pharma to open a new glass tube facility in India. This joint venture is expected to boost pharmaceutical manufacturing in India and allow SGD Pharma to use Corning's innovative Velocity Vial technology.
- In June 2023, Corning Incorporated announced a joint venture with SGD Pharma to open a new glass tube facility in India. This joint venture boosts pharmaceutical manufacturing in India and allows SGD Pharma to use Corning's innovative Velocity Vial technology.
- In September 2023, Sumitomo Electric Industries, Ltd. realized the world’s first mass production of ultra-low loss, multi-core fiber “2C Z-PLUS Fiber ULL”.
Key Questions Addressed in Report:
What is the total CAGR expected to be recorded for the fiber optics market during 2024-2029?
The fiber optics market is expected to record a CAGR of 16.4% from 2024 to 2029.
What are the significant opportunities in the fiber optics market?
A 5G network requires high-bandwidth fiber optic cables for secure and reliable data transfers. Subsequently, expanding telecommunication infrastructure across developing countries are expected to drive the fiber optics market in the near future.
Which deployment has the largest size in the fiber optics market?
Aerial deployment is expected to have the largest market size during the forecast period.
Which application has the largest size in the fiber optics market?
Communication application is expected to have the larger market size during the forecast period.
Which cable type has the highest growth in the fiber optics market?
Single-mode is expected to have the highest market growth during the forecast period.
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The study involved four major activities in estimating the size for fiber optics market. Exhaustive secondary research was done to collect information on the market, peer market, and parent market. The next step was to validate these findings, assumptions, and sizing with industry experts across value chains through primary research. The bottom-up approach was employed to estimate the overall market size. After that, market breakdown and data triangulation were used to estimate the market size of segments and subsegments.
Secondary Research
In the secondary research process, sources such as annual reports, press releases, investor presentations of companies, white papers, and articles by recognized authors were referred to. Secondary research was done to obtain key information about the market’s supply chain, the value chain of the market, the pool of key market players, market segmentation according to industry trends, region, and developments from both market and technology perspectives. The secondary data has been collected and analyzed to arrive at the overall market size, which has been further validated through primary research.
Primary Research
Extensive primary research has been conducted after understanding and analyzing the fiber optics market scenario through secondary research. Several primary interviews have been conducted with key opinion leaders from both demand- and supply-side vendors across four major regions—North America, Europe, Asia Pacific, and RoW. Approximately 25% of primary interviews have been conducted with the demand side and 75% with the supply side. These primary data have been collected through telephonic interviews, questionnaires, and emails.
To know about the assumptions considered for the study, download the pdf brochure
Market Size Estimation
In this report, we have implemented both the top-down and bottom-up approaches to estimate and validate the size of the fiber optics market and various other dependent submarkets. The key players in the fiber optics market have been identified through secondary research, and their market shares in the respective regions have been determined through primary and secondary research. This entire research methodology includes the study of annual and financial reports of top players and interviews with experts (such as CEOs, COOs, VPs, directors, and marketing executives) for key insights (both quantitative and qualitative).
All percentage shares, splits, and breakdowns have been determined using secondary sources and verified through primary sources. All the parameters that affect the markets covered in this research study have been accounted for, viewed in detail, verified through primary research, and analyzed to obtain the final quantitative and qualitative data. This data has been consolidated and supplemented with detailed inputs and analysis from MarketsandMarkets and presented in this report. The figures given below show the market size estimation process from supply side employed for this study.
Fiber Optics Market: Bottom-Up Approach
Data Triangulation
After arriving at the overall market size through the process explained above, the overall market has been split into several segments. To complete the overall market engineering process and arrive at the exact statistics for all the segments, market breakdown and data triangulation procedures have been employed, wherever applicable. The data has been triangulated by studying various factors and trends from both the demand and supply sides. The market has also been validated using both top-down and bottom-up approaches.
Market Definition
A fiber optic is a flexible, transparent fiber made of extruded glass (silica) or plastic, which can function as a “light pipe” to transmit light by the process of total internal reflection. Fiber optics includes a transparent core surrounded by a transparent cladding material with a lower index of refraction, through which the light travels by total internal reflection. This phenomenon causes the fiber to act as a waveguide.
Key Stakeholders
- Raw material suppliers
- Fiber optics manufacturers
- Suppliers and distributors
- Manufacturers of cables and other fiber optic components
- Technology standards organizations, forums, alliances, and associations
- Government agencies, financial institutions, and investment communities
- Research organizations
- Analysts and strategic business planners
- Venture capitalists, private equity firms, and startups
- End users from the telecom, datacenter, utility, premises, military, industrial, and other end-users
Report Objectives
- To define, describe, segment, and forecast the size of the fiber optics market, by fiber type, cable type, deployment, application, and region, in terms of value
- To define, describe, segment, and forecast the size of the fiber optics market, by fiber type, cable type, and region, in terms of volume
- To forecast the market size for various segments with respect to four main regions, namely, North America, Europe, Asia Pacific, and Rest of the World (RoW)
- To provide detailed information regarding the drivers, restraints, opportunities, and challenges influencing the growth of the fiber optics market
- To provide an ecosystem analysis, case study analysis, patent analysis, technology analysis, pricing analysis, Porter’s Five Forces analysis, and regulations pertaining to the market
- To provide a detailed overview of the value chain of the fiber optics ecosystem
- To strategically analyze micromarkets1 with regard to individual growth trends, prospects, and contributions to the total market
- To analyze opportunities for stakeholders by identifying the high-growth segments of the market
- To strategically profile key players, comprehensively analyze their market position in terms of ranking and core competencies2, and provide information about the competitive landscape of the market
- To analyze strategic approaches such as product launches, acquisitions, agreements, and partnerships in the fiber optics market
Available Customizations
With the given market data, MarketsandMarkets offers customizations according to the company’s specific needs. The following customization options are available for the report:
Company Information
- Detailed analysis and profiling of additional market players (up to 7)
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