June 21, 2024

Fiber In The Loop Market To Witness High Growth Owing To Rising Adoption Of Fttx Deployments

Fiber to the Loop (FTTL) is a telecommunication architecture in which the local loop uses an optical fiber network instead of the conventional copper cable. Fiber in the loop implementation provides fiber connectivity closer to home support of gigabit-capable broadband services. The fiber in the loop architecture enables service providers to leverage the high bandwidth capacity and transmission quality of fiber optic cable without having to rewire the last mile network entirely. Fiber in the loop solution enhances data transmission speed, reduces maintenance cost, and improves security compared to traditional copper networks. With increasing demand for high-speed broadband and growing focus on digitization, deployment of FTTx networks is witnessing significant growth globally which is augmenting the demand for fiber in the loop network infrastructure.

The Global Fiber In The Loop Market is estimated to be valued at US$ 13.15 Bn in 2024 and is expected to exhibit a CAGR of 9.7% over the forecast period 2024 to 2030.

Key Takeaways

Key players operating in the Fiber in the Loop are Zebra Technologies Corporation, Spectra Systems, Molex Inc., Xerox Corporation, Politronica Inkjet Printing S.r.l., Vubiq Networks Inc., Thin Film Electronics ASA, and TagSense Inc.

Increasing demand for FTTH and FTTx deployments across residential and commercial sectors is creating new business opportunities for fiber in the loop solution providers. Moreover, the emergence of smart cities and investment in rural broadband infrastructure expansion are further fueling the adoption of fiber in the loop network.

North America dominated the fiber in the loop market in 2020 followed by Europe and Asia Pacific. However, Asia Pacific region is expected to witness the highest growth rate over the forecast period owing to the increasing government initiatives to build national broadband infrastructure and rapid urbanization.

Market drivers

Rising adoption of FTTx deployments is a major driveraugmenting the growth of fiber in the loop market. Many telecom operators globally are investing heavily in fiber rollouts closer to home to enhance user experience. For instance, according to Fiber Broadband Association, FTTH/FTTx subscribers worldwide grew 23% to pass 569 million globally in 2020. Growing FTTx deployments will drive demand for fiber in the loop infrastructure during the forecast period.

PEST Analysis

Political: The government policies regarding network infrastructure development and digitalization are encouraging adoption of fiber in the loop technology. Subsidies and favorable regulations are promoting investments.

Economic: Growth of internet penetration and demand for high-speed broadband is driving the fiber in the loop market. Cost benefits of fiber networks compared to traditional copper networks is supporting spend on fiber infrastructure rollouts.

Social: Rising consumer preference for fast and reliable internet connectivity at homes and enterprises is benefiting deployment. Fiber networks enable high-speed data transfers for data-intensive applications and online services in demand.

Technological: Advancements in optical components, convergence of fiber and wireless networks, integration with 5G and IoT are expanding application scope. Miniaturization of components is supporting investments in fiber to the home/business deployments.

The North American region accounts for over 35% of the global Fiber In The Loop Market value. Government initiatives to enhance rural broadband connectivity through fiber networks and high demand for bandwidth from consumers and enterprises are fueling investments.

The Asia Pacific region is projected to be the fastest growing regional market through 2030. Wide rollout of national fiber optic networks underway in countries like China, India, Japan and South Korea for consumer and business services is driving spending. Focus on digital transformation of industries is stimulating fiber connectivity deployments across the region.

Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it