Portland, OR -- (ReleaseWire) -- 08/13/2014 --Optical fiber is the technology which is used in long distance communication. Optical fiber cable uses electromagnetic waves to carry information from one place to another. These are flexible, transparent, and made up of high quality plastic or silica. In order to provide high speed communication, bandwidth, greater resistance and minimum maintenance, these fibers are being used in communication systems Due to various advantages, the market is expected to grow in future, that leads to a detailed study of the global optical fiber market. A detailed analysis of the market would provide a clear view of the global optical fiber market.
Rise in demand for large bandwidths for communication, without noise resistance is the key reason that is driving the optical fiber market. Advancement in the technology is the additional factor driving the growth of the global market. Maintaining the fibers used for communication and cost of the fiber are the concerns for the optical fiber providers. The optical fiber market is very lucrative as increased bandwidth and greater resistance would support the communication industry to enhance their services. This would in turn increase the optical fiber cables market.
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Optical Fiber market analysis by Type
The two major types of fibers used in communication are multimode fiber and single mode fiber. Multimode fiber is designed for short communication, which are largely used in LAN systems and video surveillance systems, whereas, Single mode fiber is meant for long distance transmissions, telephony and broadcasts. Single mode fibers are used for long distance transmission as multimode fibers have less noise resistance capabilities. Hence, single mode type of optical fiber is used on large scale instead of multimode fibers.
Optical Fiber market analysis by Applications
Optical fibers are majorly used by telecommunication industries. Currently, Information Technology (IT), Consumer Electronics, Telecommunications, Manufacturing, Government and others are additional sectors where optical fibers are being used. As there is a high demand for bandwidth in the telecommunications and IT sectors.
Optical Fiber market analysis by Geography
The global market is studied according to different regions such as North America, Europe, Asia-Pacific and LAMEA. North America has the largest connectivity amongst the regions studied. Hence, North America would remain as the leading revenue generator for this market.
Adopting partnerships as their key developmental strategy, market players are being active and competitive in the market. For example, Tata Communications expands their global data center footprint by partnering with NEXTDC in Australia, Interxion in Germany & Austria and Pacific link telecom in Malaysia. This partnership would enable Tata Com. to extend their offerings in new geographies.
Tata Communications, Sterlite, 3M Company, Fujikura Ltd., Reflex Photonics, Fiberon Technologies, Shenzhen technology, Avago Technologies, Finisar Corporation are some major players in the global market.
High Level Analysis
The research provides widespread view of the global market. Porter’s five force model helps in identifying stakeholders and their strategic moves. The bargaining power of buyer is relatively high, as buyers are highly concentrated than sellers. As buyers are price sensitive and are more concentrated than suppliers are, the bargaining power of suppliers is low. There is a low switching cost of the consumer in the optical market industry, which reduces the threat of substitutes in the optical fiber market. Also, the inter-segmental rivalry is high as the market players are highly concentrated.. The value chain analysis includes mapping of operational activities and assessing the efficiency and effectiveness of those operations to reduce cost and improve quality. This would benefit the new entrants in knowing the value chain of the existing market.
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