Research and Markets has issued a new report on Global fiber optic connector demand and market. According to this new report, titled “World Fiber Optic Connectors – Market Opportunities and Forecasts, 2014 – 2020 “, the global fiber optic connectors market is expected to reach $4.9 billion by 2020, registering a CAGR of 9.9% during 2015-2020. The rising demand for high bandwidth services would primarily drive the fiber optic connectors market. Factors such as increasing cloud applications, audio and video services, TV-on-Demand, and online gaming would further stimulate the growth of this market. North American region is expected to register the highest CAGR of 9.1% during the forecast period, owing to the high adoption of fiber optic connectors in datacenters, enterprises, and security sectors.
Fiber optic connectors exhibit a rapid adoption in enterprises as they enhance the network structure and increase the efficiency of operations. Fiber optic connectors offer greater bandwidth, enhanced reliability and agility, and improved security. The increasing adoption of smartphones and other devices has resulted in huge demand for high-speed data services, a key factor that accelerates the growth of fiber optic connectors. The increasing fiber-to-the-premises, fiber-to-the-home, and fiber-to-the-building applications for improved high bandwidth services also supplement the growth of the fiber optic connectors market. Key players in the market are increasingly developing high quality, affordable, compact, and energy efficient connectors to cater to the growing demands of the customers.
Fiber optic connectors are primarily used in the telecommunication sector. However, with the increasing need for high bandwidth services, applications such as high density networks, inter/intra building, security systems, and community antenna television also exhibit a large adoption of fiber optic connectors. The telecommunication application of fiber optic connectors is forecast to grow at a CAGR of 8.3% during 2015-2020. Fiber optic connectors are increasingly being used in the security sector. The rising need for data security in the defense and aerospace sector has boosted the growth of this market. There is a huge demand for fiber optics connectors in the security sector for inherent security, huge bandwidth capabilities, and protection against interference. The application of fiber optic connectors in security systems is forecast to register a CAGR of 12.4% during 2015-2020 and is expected to provide potential growth opportunities for players in this market. Lucent fiber optic connectors are deployed in high-density connections, local area networks, telecommunication networks, community antenna television (CATV), data processing networks, fiber-to-the-home (FTTH), and fiber-to-the-premises (FTTP) distribution. Lucent fiber optic connectors held the maximum percentage share in the global fiber optic connectors market in 2014, followed by the segment of subscriber connectors accounting for a share of 29.2% of the global market in 2014. Subscriber connectors are forecast to grow at a CAGR of 11.3% during 2015-2020. In the coming years, lucent connectors, subscriber connectors, and Multi-Fiber Termination Push On/Pull Off (MTP) connectors would further increase the market penetration owing to their wide application areas.
The high initial investment associated with the fiber optic connectors limits its market growth. Also, fiber optic connectors face a threat from emerging wireless broadband technologies. Numerous governments are heavily investing in the replacement of coaxial cables with fiber optic cables across all public communication networks. Several initiatives are taken by governments across the world to improve the network infrastructure in their countries, thereby increasing the connectivity within the region and subsequently enhancing the business opportunities.
Key findings of the study:
– The global fiber optic connectors market is forecast to grow at a high rate owing to the high bandwidth requirements of customers and increased adoption of mobile devices
– The telecommunication application of fiber optic connectors accounts for a major share in the global fiber optic connectors market
– North America is the highest revenue-generating region in the global fiber optic connectors market and would continue to be the leading market over the forecast period
The major players in the market include Siemens, T.E. Connectivity, Delphi, Adtek Group Limited, Shenzhen DYS Fiber Optic Technology Co. Ltd, Extron Electronics, Amphenol Corporation, Molex Incorporated, 3M, and Optical Cable Corporation. These players introduce new products to enhance their portfolios and cater to the growing needs of the consumers. Partnerships and collaborations provide growth opportunities to these players in terms of enhancing the product portfolio and geographic expansion.
Fiber optic connectors are used for mating fiber optic cables with minimal loss of data. They are used for mechanical coupling and the aligning of core fibers to allow efficient transfer of light while providing high reliability, high return loss, and low insertion loss. Additionally, they are used for the termination of cables. The structure of a typical fiber optic connector consists of a connector body, cable, ferrules, and a coupling device. Earlier, fiber optic connectors were difficult and complex in use. However, with rapid technological advancements in the industry, manufacturers have now standardized and enhanced the user-friendliness of fiber optic connectors, thereby simplifying their usage. Fiber optic connectors are deployed across numerous applications, some of which include data centers, telecommunication, inter/intra building applications, community antenna televisions, security systems, and high-density interconnection amongst others. The rapidly escalating demand for high bandwidth services, among end-users, largely drives the market. Applications such as TV-on-demand, video services, and online gaming have resulted in an increased demand for high-speed data. Growing concerns about higher security, safety, and requirement of 4G services also stimulate the growth of this market. Consumers are moving towards smaller, efficient, and multi-fiber connectors for higher performance output. Governments in Europe and Asia-pacific region are investing significantly in fiber optics technology to enhance their network infrastructures. However, the factors restraining the growth of this market include the high initial cost of investment, new infrastructure requirements, high maintenance, and availability of substitute technologies such as wireless broadband connections in the market. The increasing adoption of mobile devices such as smartphones and tablets and the growing adoption of 4G LTE network platforms provide numerous opportunities for growth in the market.
The vendors in the market offer a wide range of fiber optic connectors to meet the growing requirements of customers. Additionally, the vendors in the market are acquiring and collaborating with top companies in the market to enhance their product portfolio and expand their customer base. For instance, Optical Cable Corporation has launched a tamper-resistant LC fiber optic connector in collaboration with Centric Solutions. This unique connector features an extra layer of lock-and-key solution that provides an extra layer of security to network ports. Molex Incorporated is another prominent player in the market offering a wide portfolio of fiber optic connectors to cater to the growing needs of customers. Other leading players in the market include Siemens AG, T.E. Connectivity, Delphi Automotive PLC, Adtek Group Limited, and 3M among others.
The global fiber optic connectors market is analyzed and segmented based on types, applications, and geography. The various types of fiber optic connectors available in the market include a lucent connector, multi-fiber termination push-on/pull-off connector, subscriber connector, straight tip, fiber connector, master unit, fiber distributed data interface connector, sub multi assembly connector, and others. Lucent connector dominates the market with the highest market share. Fiber optic connectors are used across a wide range of applications, some of which include datacenters, telecommunications, high density interconnection, inter/intra building, security systems, and community antenna television. A microscopic analysis is conducted by studying the market scenario across various countries in North America, Europe, Asia Pacific, and the LAMEA region.
– Analysis of the global fiber optic connectors market and its various segments such as types, applications, and geography is presented in the report. The segmental analysis is also done in order to identify the key revenue-generating segments
– Qualitative as well as quantitative analysis of the current market scenario coupled with a forecast through 2015 – 2020, would help stakeholders take strategic, actionable, and profitable decisions
– Current and future trends are outlined to determine the overall attractiveness and to single out profitable trends in order to gain a stronger foothold in the market
– The report provides information regarding key drivers, restraints, and opportunities with impact analysis
– Porter five forces model and SWOT analysis of the industry illustrate the potency of the buyers & suppliers participating in the market
– Value chain analysis provides key inputs on the role of all key intermediaries in the market, which would help the stakeholders in devising appropriate strategies
The market is segmented on the basis of type, application, and geography.
Market by Type: Lucent Connector (LC), Multi-Fiber Termination Push On/Pull Off (MTP), Subscriber Connector (SC), Straight Tip (ST), Fiber Connector (FC), Master Unit (MU), Fiber Distributed Data Interface (FDDI), Sub Multi Assembly (SMA)
Market by Application: Datacenter, Telecommunication, High-Density Interconnection, Inter/Intra Building, Security Systems, Community Antenna Television
Market by Geography: North America, Europe, Asia Pacific, LAMEA