According to Allied Market Research, the global optical fiber and plastic conduit industry generated $4.15 billion in 2018, and is expected to reach $11.77 billion by 2026, registering a CAGR of 20.6% from 2019 to 2026.
The researcher reports that widespread implementation of 5G, rise in adoption of fiber-to-the-home (FTTH) connectivity, the advent of the internet of things (IoT), and demand for secure and safe wiring systems are driving the growth of the global optical fiber and plastic conduit market. However, the high installation cost of optical fiber and conduits and rise of the wireless communication systems are cited as potentially hindering the market's growth.
On the other hand, rising investments in optical fiber cable network infrastructure and emerging trends toward cable-in-conduit systems are creating new opportunities in the market, finds the analyst.
Based on region, North America reportedly accounted for the highest market share in terms of revenue, accounting for nearly two-fifths of the global optical fiber and plastic conduit market in 2018, and is expected to maintain its dominance during the forecast period. This is attributed to rise in investment in defense industries, need to enhance the security infrastructure, and large-scale acceptance in the telecommunication sector.
Meanwhile, the Asia-Pacific region is expected to maintain the fastest CAGR of 13.4% from 2019 to 2026, owing to rise in penetration of the Internet in developing countries, such as India, China, and Taiwan, increase in industrialization, and increase in awareness associated with benefits of the technology.
Surprisingly, based on product type, the analyst says the plastic optical fiber segment contributed to more than three-fifths of the total share of the global optical fiber market in 2018, and is expected to maintain its lead position during the forecast period. This is due to rising adoption in home networks, digital home appliances, industrial networks, and car networks. However, the glass optical fiber segment is estimated to register the largest CAGR of 22.3% from 2019 to 2026, owing to benefits such as greater bandwidth, immunity to interference from vibrations and electricity, and its light weight.
Also according to the research, based on connectivity, the flexible conduit segment held the highest market share of the global plastic conduit market in the IT and telecom market, accounting for more than two-thirds of the total share in 2018, and is estimated to continue its lead position in terms of revenue during the forecast period. This is attributed to an increase in installation work for commercial and domestic wiring in the IT and telecom sector. However, the rigid conduit segment is estimated to grow at CAGR of 10.2% from 2019 to 2026.
Source: Broadband Technology Report