Owing to benefits such as high bandwidth capacity, less signal attenuation, and improved security, among others, the PLC fiber optical splitters market is projected to grow significantly in the forecast period. A PLC splitter is a passive device used to split optical signals in an optical distribution network. It has been experiencing a greater adoption as compared to its other alternatives that operate in the market.
The need for fiber optics-based networks has been growing due to their ability to provide high data transmission speeds. This growth can be attributed mainly to the need for reliable and secure communication systems for data transmission over long distances. Rapid technical development is also encouraging the adoption of high-speed networks employing fiber optics technology, which is anticipated to further support the market's expansion.
Rapid use in FTTx (Fiber to The X) applications such as Fiber To The Home (FTTH), Fiber To The Building (FTTB), and Passive Optical Networks (PON) is responsible for the surge in the demand for PLC fiber optical splitters across the globe.
Advantages such as low power consumption, size advantage, and low cost of deployment are expected to drive the market for PLC fiber optical splitters. In addition to this, these devices are widely used in CATV networks and optical test/measurement applications such as switches, routers, transceivers, etc., which are further anticipated to propel the growth of this market.
Considering these factors, it is reasonable to say that the global PLC fiber optical splitters market is growing at an appreciable compound annual growth rate (CAGR) of 9.4%. It is expected that the market might acquire a size of USD 30.7 billion during the period of forecast, that is, 2021-31.
PLC fiber optical splitters are splitters that distribute optical signals over optical fibers. They are used in telecommunications and data communication networks to divide an incoming signal into two or more output signals. The splitter can be a passive device, with no active components, or an active one, with amplifiers and other electronic components.
The significant rise in the demand from end-users such as telecom operators, data centers, government bodies, educational institutions, and others is expected to create a huge opportunity for players operating in this market.
Furthermore, the growing demand for high-speed internet connectivity with low latency is another factor that is expected to augment the growth of this market during the forecast period. The need for scalability in fiber optic networks, the emergence of optical fiber-based communication systems, and the increasing investments in research and development activities are expected to create potential opportunities for players operating in this market.
However, a certain number of restrictions such as the lack of skilled personnel and the high cost associated with installation, maintenance, and repair are some of the factors that may restrain the growth of this market. In spite of these restraints, the increasing demand for high-speed internet and the growing adoption of fiber optics technology is expected to create lucrative opportunities in this market.
The key players in the global PLC Fiber Optical Splitters market are Sumitomo Electric Industries Ltd and Corning Incorporated Finisar Corporation, ., AFL Telecommunications LLC, and Oplink Communications LLC. The key players in the global PLC Fiber Optical Splitters market are continuously expanding their product portfolios with advanced technologies and investing in R&D activities to develop innovative products. These strategies will help them to differentiate their offerings from those of competitors, strengthen their market presence, and gain a competitive edge over others.
Bare/Mni Type Segment to Remain the Most Lucrative Segment
On the basis of type, the market is segmented into bare/mini type, insertion type, box type, and rack/tray type. Among these, the bare/mini type segment is expected to hold the largest share of this market during the forecast period.
The PON / FTTX Segment to Ensure Maximum Revenue Based on application, the market is segmented into PON / FTTX, CATV, fiber optic test/measurement, and others. Among these, The PON / FTTX segment is projected to account for the largest share of this market in 2021.
North America is Expected to Render Ample Investment Avenues
The North American region is projected to dominate this market owing to factors such as increasing investments in research and development activities for developing these devices with improved features along with the growing demand for high-speed internet connections. The presence of a number of prominent players in this region also contributes significantly to the growth of this market. Furthermore, APAC is expected to witness a rapid growth rate during the forecast period due to increasing technological advancements and rising investments in fiber optics communications systems by telecom operators in countries such as China, Japan, India, and South Korea.
Covid-19 Impact and Market Status
The COVID-19 pandemic has impacted the global PLC fiber optical splitters market in a variety of ways. The most significant impact has been on production and supply chains, as many factories have been forced to close or operate at reduced capacity due to lockdown measures. This has led to shortages of PLC fiber optical splitters and other components, and prices have risen sharply as a result. The pandemic has also disrupted end-user demand, as many projects have been put on hold or canceled due to the economic downturn. As a result, the global PLC fiber optical splitters market is expected to experience a significant decline in 2020. In terms of regional impact, Asia Pacific is expected to be the hardest hit region due to the high concentration of manufacturing activity in the region. Gradually, the market is rising as a whole and is expected to gain a good rate of growth during the study period.
Latest Innovations in the Global PLC Fiber Optical Splitters Market: a Snapshot
• In 2020, Finisar Corporation, a key player in the global PLC Fiber Optical Splitters market, announced the launch of its new product line including upgraded wavelength-division multiplexing (WDM) technology. This new product line includes WDM4, WDM8, and WDM16 splitters with a colorless operation which provides customers with a cost-effective solution for adding more channels to their deployments.
• In 2019, AFL Telecommunications LLC introduced a new line of PLC splitters for point-to-point and point-to-multipoint applications.
• Additionally, Oplink Communications LLC also introduced an advanced 1x2 optical splitter which offers enhanced performance and accuracy. Sumitomo Electric Industries Ltd., another major player in the global PLC Fiber Optical Splitters market, is focusing on expanding its product portfolio by introducing next-generation fiber optical splitters that provide greater flexibility and scalability in data transmission.
• Moreover, Corning Incorporated has developed its own silicon nitride waveguide technology to manufacture optical components such as transmitters, receivers, and splitters which provide improved performance characteristics compared to conventional silica-based technologies.
PLC Fiber Optical Splitters Market Scope
|Revenue forecast in 2031
|USD 30.7 BN
|CAGR of 9.4 % during 2021-2031
|Type, Application, Regions
|North America, Europe, Asia Pacific, South America, Middle East and Africa
|Key Players Profiled
|Sumitomo Electric Industries Ltd and Corning Incorporated Finisar Corporation, ., AFL Telecommunications LLC, and Oplink Communications LLC
Key Segments of the PLC Fiber Optical Splitters Market
By Type Overview, 2021-2031 (USD Billion)
• Bare/Mini Type
By Application Overview, 2021-2031 (USD Billion)
• PON / FTTX
• Fiber Optic Test/Measurement
By Regional Overview, 2021-2031 (USD Billion)
• Rest of Europe
• Rest of Asia Pacific
• Rest of South America
Middle East and Africa