USD 14.4 billion
Report ID:
SQMIG45H2050 |
Region:
Global |
Published Date: December, 2024
Pages:
165
|Tables:
90
|Figures:
76
Passive Optical Network Market size was valued at USD 16.88 Billion in 2023 and is poised to grow from USD 20.63 Billion in 2024 to USD 97.34 Billion by 2032, growing at a CAGR of 22.2% during the forecast period (2025-2032).
The Passive Optical Network Architecture is made up of three major network elements: the Optical Line Terminal (OLT), the Passive Optical Splitter, and the Optical Network Unit (ONU). Passive optical networks are used in a variety of services such as high-speed Internet access, VoIP, IPTV, video on demand, video telephony, and gaming.
The rising penetration of telecom and internet services, combined with rising bandwidth demand, has boosted demand for Gigabyte Passive Optical Network (GPON) equipment over the forecast period. Data-intensive services like video on demand, videoconferencing, and Voice over Internet Protocol (VoIP) are expected to increase the demand for Ethernet Passive Optical Network (EPON) equipment.
US Passive Optical Network Market is poised to grow at a sustainable CAGR for the next forecast year.
Global Market Size
USD 14.4 billion
Largest Segment
Optical Network Terminal (ONT)
Fastest Growth
Optical Network Terminal (ONT)
Growth Rate
13.8% CAGR
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Global Passive Optical Network Market is segmented by Structure, Component, Application, and Region. Based on Structure, the market is segmented into Gigabyte Passive Optical Network (GPON), Ethernet Passive Optical Network (EPON), and Wavelength Division Multiplexing Passive Optical Network (WDM-PON). Based on Component, the market is segmented into Wavelength Division Multiplexer/De-Multiplexer, Optical Filters, Optical Power Splitters, Optical Cables, Optical Line Terminal (OLT), and Optical Network Terminal (ONT). Based on Application, the market is segmented into FTTx, and Mobile Backhaul. Based on Region, the market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa.
Analysis by Technology
Based on Technology, EPON segment has dominated the market and are expected to grow exponentially over the forecast year. The demand for internet has grown exponentially in recent years, and with more internet-based applications on the horizon, this demand is expected to reach unprecedented levels. Sensing an opportunity as a result of increasing demand, network providers and internet companies intend to be prepared to handle large data traffics over the network and meet the needs of each individual user. Because it is a point-to-multipoint system, a PON can transmit data more efficiently. The infrastructure requirement in this type of architecture is greatly reduced because the main transmission line can be split up into many small separate lines. There are several versions of PONs, all of which use optical cables and unpowered splitters.
Analysis by Network Element
During the forecast period, the optical network terminal segment in the passive optical network market is expected to grow at an exponential rate. PON can be used for both data-centric networks and full-service voice, data, and video networks. The next generation of access network development. Finally, they can provide the most bandwidth at the lowest cost. According to SQ analysis, telecommunication operators' network-related capital expenditures will need to be increased by at least 60% for the efficient and seamless application of Passive Optical Network technology in the near future from 2021 for a period of 4-5 years, which would be roughly double the Total Cost of Ownership (TCO) during the period.
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In 2021, North America is expected to dominate the passive optical network market. The market is driven by increasing higher bandwidth applications, expanding fibre city projects, and a growing emphasis on eco-friendly network solutions. Asia-Pacific is the fastest growing passive optical network market in terms of revenue, owing to a growing emphasis on cost-effective network solutions, increased fibre-to-the-premises (FTTP) deployment, and a continued focus on digital transformations in government and public sectors.
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The industry's service providers are primarily focused on developing technology for higher quality fibre used in network architecture. With increasing industry competition, industry players are working to simplify operations in order to drive further industry growth. The major competitors include Mitsubishi Electric Corp., Tellabs Inc., Hitachi Ltd., Verizon Communications Inc., Freescale Semiconductor Inc., and Sumitomo Electric Networks Inc.
Top Player’s Company Profiles
Recent Developments
SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Co-relates and Analyses the Data collected by means of Primary Exploratory Research backed by the robust Secondary Desk research.
According to our analysis, the global passive network (PON) equipment market is expected to grow due to an increasing demand for green network solutions. POL solutions are more environmentally friendly than traditional copper-based Ethernet local area networks. POL eliminates the need for workgroup switches in favour of optical splitters. As a result, it meets HVAC standards because it eliminates the use of thousands of KW of energy and acts as a more cost-effective option. Furthermore, rack mount switches are not required, which reduces the use of non-renewable electrical equipment and lowers power consumption. A passive optical network (PON) connects the WGT with a single fibre and a single type of optic.
Report Metric | Details |
---|---|
Market size value in 2022 | USD 14.4 billion |
Market size value in 2031 | USD 46.09 billion |
Growth Rate | 13.8% |
Base year | 2023 |
Forecast period | 2024-2031 |
Forecast Unit (Value) | USD Billion |
Segments covered |
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Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
Companies covered |
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Executive Summary
Market overview
Parent Market Analysis
Market overview
Market size
KEY MARKET INSIGHTS
COVID IMPACT
MARKET DYNAMICS & OUTLOOK
Market Size by Region
KEY COMPANY PROFILES
For the Passive Optical Network Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Passive Optical Network Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Passive Optical Network Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the Passive Optical Network Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
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Report ID: SQMIG45H2050
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