The global passive optical LAN market was valued at $30.2 billion in 2021 and it is expected to reach $299.3 billion at a CAGR of 22.10%% between 2022 and 2032. A passive optical LAN is a kind of point-to-multipoint network architecture where any type of data, video, and voice services are transported at a high speed through a single optical fiber to serve worldwide end-users. Moreover, different components such as optical cables, optical circulators, optical encoders, optical power splitters, optical connectors, optical filters, and couplers, among others are involved in passive optical LAN services and solutions.
By region, Asia-Pacific region holds the largest number of share in the passive optical LAN market across the globe.
The adoption of cloud-based services and virtualization services is increasing across the globe. Along with these, the adoption of data traffic is also increasing due to growing internet usage, and several data centers, among others are expected to drive the growth of the passive optical LAN market during the forecast period. Moreover, passive optical LAN is a layer-2 transport medium that uses passive optical network technology to deliver converted video, data, information, voice services through a single and strand of fiber. Thus, with a single mode-fiber, it employs a distinct style of architecture. Major market players across the globe are focusing on creating innovative products and are providing services and solutions to a large number of end-users to stay ahead in the competitive market. For example, key players such as 3M Company and Freescale Semiconductor Holdings Company have introduced Easy Cleaver, a new and innovative fiber cleaving tool that makes fiber installation faster and with cost-effective services. Hence, these products have driven the market growth in the last few years.
Source: SAI Research
Based on components, the market is segmented into optical cables, optical couplers, optical power splitters, optical encoders, patch cords and pigtails, optical connectors, optical amplifiers, optical circulators, and optical filters, and others. Optical splitters, optical filters, and optical cables are accounted for the largest share in the passive optical LAN market due to the increasing number usage of internet connections by a large number of end-users. Furthermore, these segments are mainly used to save tens of thousands of KW of electricity. Based on application, the global passive optical LAN market is segmented into loop feeder, interoffice, the fiber in the loop, synchronous optical network, hybrid fiber-coaxial cable, and synchronous digital hierarchy systems. Among these, the interoffice and fiber-in loop segment is anticipated to gain significant market growth during the upcoming years.
Based on end-users, the global passive optical LAN market is segmented into BFSI, Government, healthcare sector, cloud, energy and utilities, and others. The healthcare sector, cloud, and government segments are anticipated to gain significant market share due to increasing healthcare facilities and the increasing adoption of cloud networks. Based on regions, the passive optical LAN market is categorized into North America, Europe, Asia-Pacific, Latin America, Africa, and the Middle East Countries. Among these, the Asia-Pacific region is dominating the market and the region is expected to hold its leading position during the forecast period. The increasing demand for passive optical networks in developing countries such as India, China, South Korea, Singapore, and others are supporting the market growth in this region. Additionally, an increase in demand for bandwidth is also expected to drive the growth of the market. In this region, technological advancement, development of systems administration, expansion of the fiber-optic network and exploration framework are some major factors, which are expected to propel the growth of the passive optical LAN market in near future.
A China-based company named Huawei Technologies is focusing on working with its partners to activate transformation in enterprise collaboration and communication, which is serving various industries. Cisco Systems, a U.S based company is focusing on providing various routing switching, and wireless products via its networking and wireless product portfolio, which offers a secure and simplified network infrastructure of communication services and solutions to small, medium, and large enterprises across the region. Moreover, the company is also focusing on doing partnerships and R&D investments to sustain the growth in the passive optical LAN market. Furthermore, Finland-based Company Nokia Telecommunications Company focuses on providing products, services, and solutions, for the network infrastructure market and holds its business position in the competitive market across the globe. This company regularly invests in R&D activities and is focusing on launching multiple new products within LTE versions and 5G to modify the existing network technologies and current deployment. In addition, the adoption of passive optical LAN increases the speed of multiple offices of global key players. It reduces the costs by deploying one simple and easy network, adds capacity to boost the business performance, and improves mobile connectivity for all the customers or end-users.
The passive optical LAN services and solutions can help many organizations too. With an optical LAN, one can deliver better service experiences. Additionally, it can lower the costs, and get value from another network in the future. Adtran Inc Company partnered with Twin Lakes to create a 10G Fiber Access Platform, which would benefit a large number of end-users in upcoming years and the company is also planning to launch a new broadband partner program. Hence, these are expected to drive the global passive optical LAN market throughout the forecast period.
According to the study, key players such as 3M Multinational Conglomerate Company (U.S), Freescale Semiconductor Holdings Limited (Bermuda), Adtran Inc Company (U.S), Ericsson Telecommunications Company (Sweden), Nokia Telecommunications Company (Finland), Broadcom Inc Semiconductor Manufacturing Company (U.S), AT&T Telecommunications Company (U.S), Huawei Investment and Holding Co. Limited Telecommunications Equipment Company (China), ZTE Manufacturing Company (China), Verizon Telecommunications Company (U.S), Mitsubishi Electric Electronics Company (Japan), Motorola Solutions Telecommunications Equipment Company (U.S), Tellabs Company (U.S), TE Connectivity Limited (Switzerland), CommScope Company (U.S), IBM Technology Company (U.S), Cisco Networking Hardware Company (U.S), DZS Telecommunications Equipment Company (U.S), TE Connectivity Consumer Electronics Company (Switzerland), Furukawa Group Company (Japan), NXP Semiconductors Manufacturing Company (Netherlands), Hitachi Multinational Conglomerate Company (Japan), Calix Inc (U.S), ADVA Telecommunications Equipment Company (Germany), Fujikura Company Japan), among others are leading the global passive optical LAN market.
Scope of the Report:
Report Coverage |
Details |
Market Size in 2021 | US$ 30.2 Billion |
Market Volume Projection by 2032 | US$ 299.3 Billion |
Forecast Period 2022 to 2032 CAGR | 22.10% |
Base Year: | 2021 |
Historical Data | 2019, 2020 and 2021 |
Forecast Period | 2022 to 2032 |
Segments covered |
By Components Type: Optical Cables, Optical Couplers, Optical Power Splitters, Optical Encoders, Patch Cords and Pigtails, Optical Connectors, Optical Amplifiers, Optical Circulators, Optical Filters & Others By Application Type: Loop Feeder, Interoffice, Fiber in the Loop, Synchronous Optical Network, Hybrid Fiber-Coaxial Cable, Synchronous Digital Hierarchy Systems (SDH) By End-Users: BFSI, Government, Healthcare, Cloud, Energy and Utilities & Others |
Geographies covered |
North America, Europe , Asia-Pacific , LAMEA |
Companies covered | 3M Multinational Conglomerate Company (U.S), Freescale Semiconductor Holdings Limited (Bermuda), Adtran Inc Company (U.S), Ericsson Telecommunications Company (Sweden), Nokia Telecommunications Company (Finland), Broadcom Inc Semiconductor Manufacturing Company (U.S), AT&T Telecommunications Company (U.S), Huawei Investment and Holding Co. Limited Telecommunications Equipment Company (China), ZTE Manufacturing Company (China), Verizon Telecommunications Company (U.S), Mitsubishi Electric Electronics Company (Japan), among others |
The Global Passive Optical LAN Market Has Been Segmented Into:
The Global Passive Optical LAN Market - By Components Type:
The Global Passive Optical LAN Market - By Application Type:
The Global Passive Optical LAN Market - By End-Users:
The Global Passive Optical LAN Market - By Regions:
North America
Europe
Asia-Pacific
LAMEA
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