The global optical interconnect market size reached US$ 12.1 Billion in 2023. Looking forward, the market is projected to reach US$ 32.0 Billion by 2032, exhibiting a growth rate (CAGR) of 11.41% during 2023-2032.
An optical interconnect is a link that is used to connect multiple computer systems in a circuit through light. It is an interface that assists in receiving digital signals from network equipment and converting them into optical signals that are transmitted through the fiber network. Advanced signal processing is facilitated by optical interconnect to monitor or manage errors and reduce distortion in fiber optics. Optical interconnections can range from short connections on motherboards to kilometer-long links used in large area networks. These interconnects have a low frequency-dependent loss, negligible crosstalk and high bandwidth due to which they find wide applications in the semiconductor industry.
Increasing demand for internet services across the domestic, commercial and industrial sectors is the key factor driving the market growth. Owing to the rapid growth of the information technology (IT) sector along with the introduction of big data analytics and Internet of Things (IoT), the demand for high data transmission and bandwidth communication is on the rise, which has led to an increased demand for optical interconnect globally. Optical interconnect is considered a more suitable alternative to the traditionally used technologies, in order to meet the current performance requirements of data processors.
Also, the rising demand for increased bandwidth capacity along with the reduced power consumption within data center networks is acting as a major growth-inducing factor. Furthermore, rising network traffic from both private and government sectors has resulted in an increasing demand for optical interconnect devices for efficient utilization of resources while handling web applications and cloud computing systems. With cloud applications facilitating rapid communication and the rising trend of digitalization, there is a rise in the adoption of optical interconnect systems that favor the growth of various information-centric industries.
Breakup by Product Type:
An optical interconnect is a link that is used to connect multiple computer systems in a circuit through light. It is an interface that assists in receiving digital signals from network equipment and converting them into optical signals that are transmitted through the fiber network. Advanced signal processing is facilitated by optical interconnect to monitor or manage errors and reduce distortion in fiber optics. Optical interconnections can range from short connections on motherboards to kilometer-long links used in large area networks. These interconnects have a low frequency-dependent loss, negligible crosstalk and high bandwidth due to which they find wide applications in the semiconductor industry.
Increasing demand for internet services across the domestic, commercial and industrial sectors is the key factor driving the market growth. Owing to the rapid growth of the information technology (IT) sector along with the introduction of big data analytics and Internet of Things (IoT), the demand for high data transmission and bandwidth communication is on the rise, which has led to an increased demand for optical interconnect globally. Optical interconnect is considered a more suitable alternative to the traditionally used technologies, in order to meet the current performance requirements of data processors.
Also, the rising demand for increased bandwidth capacity along with the reduced power consumption within data center networks is acting as a major growth-inducing factor. Furthermore, rising network traffic from both private and government sectors has resulted in an increasing demand for optical interconnect devices for efficient utilization of resources while handling web applications and cloud computing systems. With cloud applications facilitating rapid communication and the rising trend of digitalization, there is a rise in the adoption of optical interconnect systems that favor the growth of various information-centric industries.
Key Market Segmentation:
This report provides an analysis of the key trends in each sub-segment of the global optical interconnect market report, along with forecasts at the global and regional level from 2024-2032. The report has categorized the market based on product type, interconnect level, fiber mode, application and end use industry.Breakup by Product Type:
- Cable Assemblies
- Indoor Cable Assemblies
- Outdoor Cable Assemblies
- Active Optical Cables
- Multi-Source Agreement
- QSFP
- CXP
- CFP
- CDFP
- Connectors
- LC Connectors
- SC Connectors
- ST Connectors
- MPO/MTP Connectors
- Optical Transceivers
- Free Space Optics, Fiber and Waveguides
- Silicon Photonics
- PIC-Based Interconnects
- Optical Engines
Breakup by Interconnect Level:
- Chip- & Board-Level Interconnect
- Board-To-Board and Rack-Level Optical Interconnect
- Metro & Long Haul Optical Interconnect
Breakup by Fiber Mode:
- Multi-Mode Fiber
- Step Index Multi-Mode Fiber
- Graded Index Multi-Mode Fiber
- Single-Mode Fiber
Breakup by Application:
- Data Communication
- Data Center
- High-Performance Computing (HPC)
- Telecommunication
Breakup by End Use Industry:
- Military and Aerospace
- Consumer Electronics
- Automotive
- Chemicals
- Others
Breakup by Region:
- North America
- Europe
- Asia Pacific
- Middle East and Africa
- Latin America
Competitive Landscape
The report has also analysed the competitive landscape of the market with some of the key players being Finisar, Mellanox Technologies, Molex, Oclaro, Sumitomo Electric Industries, Broadcom, TE Connectivity, Amphenol, Juniper Networks, Fujitsu, Infinera Corporation, Lumentum Holdings, OFS Fitel, LLC (FURUKAWA ELECTRIC CO., LTD), 3M Company, Acacia Communication, Dow Corning, Huawei, Intel, Infineon Technologies, etc.Key Questions Answered in This Report
- How has the global optical interconnect market performed so far and how will it perform in the coming years?
- What are the key regional markets in the global optical interconnect industry?
- What has been the impact of COVID-19 on the global optical interconnect industry?
- What is the breakup of the market based on the product type?
- What is the breakup of the market based on the interconnect level?
- What is the breakup of the market based on the fiber mode?
- What is the breakup of the market based on the application?
- What is the breakup of the market based on the end use industry?
- What are the various stages in the value chain of the global optical interconnect industry?
- What are the key driving factors and challenges in the global optical interconnect industry?
- What is the structure of the global optical interconnect industry and who are the key players?
Table of Contents
1 Preface3 Executive Summary13 Value Chain Analysis15 Price Analysis
2 Scope and Methodology
4 Introduction
5 Global Optical Interconnect Market
6 Market Breakup by Product Type
7 Market Breakup by Interconnect Level
8 Market Breakup by Fiber Mode
9 Market Breakup by Application
10 Market Breakup by End Use Industry
11 Market Breakup by Region
12 SWOT Analysis
14 Porter’s Five Forces Analysis
16 Competitive Landscape
List of Figures
List of Tables
Companies Mentioned
- Finisar
- Mellanox Technologies
- Molex
- Oclaro
- Sumitomo Electric Industries
- Broadcom
- TE Connectivity
- Amphenol
- Juniper Networks
- Fujitsu
- Infinera Corporation
- Lumentum Holdings
- OFS Fitel LLC (FURUKAWA ELECTRIC CO. Ltd)
- 3M Company
- Acacia Communication
- Dow Corning
- Huawei
- Intel
- Infineon Technologies
Methodology
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Table Information
Report Attribute | Details |
---|---|
No. of Pages | 137 |
Published | April 2024 |
Forecast Period | 2023 - 2032 |
Estimated Market Value ( USD | $ 12.1 Billion |
Forecasted Market Value ( USD | $ 32 Billion |
Compound Annual Growth Rate | 11.4% |
Regions Covered | Global |
No. of Companies Mentioned | 19 |