Gigabit Passive Optical Network Market Report 2025

This Gigabit Passive Optical Network market report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.

The gigabit passive optical network market size has grown rapidly in recent years. It will grow from $15.63 billion in 2024 to $17.59 billion in 2025 at a compound annual growth rate (CAGR) of 12.5%. The growth in the historic period can be attributed to competition and market demand, government initiatives and investments, triple play services, cost efficiency and scalability.

The gigabit passive optical network market size is expected to see rapid growth in the next few years. It will grow to $33.88 billion in 2029 at a compound annual growth rate (CAGR) of 17.8%. The growth in the forecast period can be attributed to increasing demand for high-speed internet, rising bandwidth requirements, fiber-to-the-home (FTTH) deployments, smart cities and IoT infrastructure, environmental concerns and energy efficiency. Major trends in the forecast period include data traffic management and optimization, technological advancements in GPON, network security enhancement, fiber expansion and FTTH deployments, 5g network backhaul integration.

The rising demand for high-speed broadband services is expected to drive the growth of the gigabit passive optical network (GPON) market in the coming years. Broadband refers to high-speed internet access that exceeds the speeds of traditional dial-up connections. GPON technology supports high bandwidth over long distances and enhances connectivity for both local area networks (LANs) and wide area networks (WANs), thereby boosting broadband speed. For example, in July 2024, the Organization for Economic Co-operation and Development (OECD) reported that mobile broadband subscriptions increased by 19% between 2019 and 2023, totaling approximately 1.86 billion in 2023. Additionally, average monthly data consumption per mobile subscription grew by 20% in one year, reaching 13 GB, more than double the amount consumed four years prior. As a result, the rising demand for high-speed broadband services is fueling the growth of the GPON market.

The increasing adoption of streaming services is expected to propel the growth of gigabit passive optical network market going forward. Streaming services, often referred to as streaming platforms, are digital content delivery platforms that allow users to access and consume multimedia content over the internet in real time. Streaming services require substantial bandwidth for delivering high-quality content, and GPON technology offers the ideal solution. GPON networks provide fast and reliable data transmission, making them suitable for handling the high bandwidth requirements of streaming platforms. Furthermore, GPON networks are well-equipped to support the transition to higher-resolution content, such as 4K and 8K streaming. For instance, in April 2023, according to a press release shared by Netflix Inc., a US-based streaming media company, Netflix had 223 million paying subscribers in the fourth quarter of 2022, and by the first three months of 2023, that number had risen to 231 million. Therefore, the increasing adoption of streaming services is driving the growth of gigabit passive optical network market.

New technological innovations are becoming a key trend in the gigabit passive optical network (GPON) market. Leading companies in the sector are introducing advanced technologies to maintain their competitive edge. For example, in October 2023, Nokia, a Finland-based telecommunications company, launched its 25G PON technology on the Lightspan SF-8M sealed fiber access node. This remote Optical Line Terminal (OLT) supports both GPON and XGS-PON technologies, enabling cable operators to swiftly adapt to increasing bandwidth demands or market competition by upgrading to 10G or 25G speeds on their existing PON networks. This innovation allows for enhanced scalability and improved network performance, catering to the growing need for high-speed internet services.

Major companies operating in the gigabit passive optical network market are focused on developing new home connectivity broadband solutions to gain a competitive edge in the market. This platform seamlessly integrates 10 Gigabit (10G) Fiber broadband service with Qualcomm's innovative Service Defined Wi-Fi technology, resulting in a tailored, high-performance, and adaptable home connectivity solution. For instance, in September 2023, Qualcomm Inc., a US-based semiconductor company launched the Qualcomm 10G Fiber Gateway Platform, marking a significant advancement in home connectivity for service providers. The Service Defined Wi-Fi technology tackles the challenge of managing broadband service and Wi-Fi separately by providing a unified data flow management architecture. It offers orchestration, classification, and scheduling capabilities, ensuring an exceptional user experience across various activities like gaming, streaming, video conferencing, or content sharing. Additionally, the 10G Fiber Gateway Platform incorporates 10 Gigabit Passive Optical Network (PON) technology, enabling high-speed and low-latency connectivity to end devices throughout the home.

In November 2022, Ciena, a US-based optical networking company, expanded its technology offerings into the broadband access market by acquiring Benu Networks for an undisclosed amount. This acquisition is part of Ciena's strategy to strengthen its capabilities in subscriber management and advanced passive optical network (PON) technology, enhancing its position in the broadband services sector. Benu Networks, a US-based company, specializes in software solutions for broadband service providers, while Tibit Communications focuses on developing innovative passive optical networking solutions. Together, these technologies will enable Ciena to provide more comprehensive broadband access solutions.

Major companies operating in the gigabit passive optical network market include Huawei Technologies Co. Ltd., Cisco Systems Inc., Calix Inc., ADTRAN Inc., Himachal Futuristic Communications Limited, Fiber Optic Telecom Co., Hitachi Ltd., FiberHome Telecommunication Technologies Co. Ltd., DASAN Zhone Solutions Inc., Allied Telesis Holdings K. K., Freescale Semiconductor Inc., ZTE Corporation, Nokia Corporation, Sumitomo Electric Industries Ltd., NEC Corporation, Mitsubishi Electric Corporation, Fujitsu Limited, Corning Incorporated, Ciena Corporation, ADVA Optical Networking SE, Oplink Communications LLC, Source Photonics Inc.

Asia-Pacific was the largest market in the gigabit passive optical network market in 2024. North America was the second largest region of the gigabit passive optical network market. The regions covered in the gigabit passive optical network market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the gigabit passive optical network market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Canada, Spain.

A gigabit passive optical network refers to a telecommunications network that helps the providers bring fiber optic cabling and signals to the user. This helps to increase the bandwidth over a long range. It is used to deliver voice, data, and video services at gigabit speeds. The gigabit passive optical network is used for consolidating multiple services onto a single fiber transport network.

The main types of gigabit passive optical network are optical line terminals (OLT), optical network terminals (ONT), and passive optical splitters. An optical line terminal refers to a device that serves as the service provider's endpoint. This helps to perform a conversion between the electrical signals used by the service provider's equipment and the fiber optic signals. The various components include products and services that involve several technologies such as 2. 5 GPON, XG-PON, XGS-PON, and NG-PON2. The various applications include fiber to the home (FTTH), fiber to the building (FTTB), fiber to the curb (FTTC), fiber to the node (FTTN), and mobile backhaul. It is employed in residential, commercial, and other end users.

The gigabit passive optical network market research report is one of a series of new reports that provides gigabit passive optical network market statistics, including gigabit passive optical network industry global market size, regional shares, competitors with a gigabit passive optical network market share, detailed gigabit passive optical network market segments, market trends and opportunities, and any further data you may need to thrive in the gigabit passive optical network industry. This gigabit passive optical network market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The gigabit passive optical network market consists of revenues earned by entities by providing gigabit passive optical network services including fixed internet and voice, mobile voice and internet and internet protocol TV. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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