The escalating numbers of connected devices, clubbed with the implementation of data-intensive applications, are bringing the demand for a fiber-optic network that can provide data transfer at higher speeds.
FREMONT, CA: Growing demand for data-intensive applications and high-bandwidth network, the surfacing of machine-to-machine (M2M) communication technologies, and the IoT, along with the rise of data centers are steering the expansion of the optical networking.
In simple words, optical networking is a communication process, with the help of which the data is transmitted through the optical fiber. Optical communication makes use of the only light for transmission and is considered to be the primary step in optical networking. The market for optical networking is segmented by elements, network connectivity, region, and end-user. According to the component, the market is classified into hardware, software, and services.
Earlier, the hardware category used to hold the highest revenue share in the optical networking market. It is because of the emergence of a 5G network, rising data traffic, and higher demands for hardware components that are capable of backing the high-speed data transmission from the data centers. However, regular tech-appraisals and repairs are also helping in the growth of the hardware market.
The optical networking market is separated into the metro, access, and network connectivity. From all these, the metro category is witnessed to record considerable growth in the forecast period. In the present time, metro connectivity is highly service-oriented and competitive, which targets its customers in different application locations. The factor that drives the market is nothing but the expanding demands for the metro connectivity from data centers.
The increasing demand for higher bandwidth due to the rising internet users and escalating data traffic is noteworthy in the optical networking market. The rise and fall of dependency of economies and businesses on unfussy connectivity have led to a higher requirement for higher bandwidth that can transform the sector, worldwide. Optical networking has been widely adopted due to the enormous consumer demand for much faster internet service. Additionally, it also becomes the reason for the growth in the market with significant usage of high-data-rate applications.
Besides, the limitless smartphone users, data centers, and rising data-intensive application usage rate around the globe are boosting the optical networking market growth. Furthermore, with the help of IoT, strong network capacity also became a significant necessity.