The global optical networking market is estimated to reach revenues of $20 billion in 2016, according to analyst firm Ovum.
The global market is forecast to grow at 6% CAGR between 2010 and 2016, driven by investment from carriers in 40G and 100G networks. This level of growth, however, will vary according to region, with the North American market, for instance, estimated to grow by 12% this year while the Asia-Pacific market is predicted to contract by a further 3.2% in 2011.
“Increasing bandwidth from residential broadband networks, mobile networks, and enterprises is the key driver of the growth. Carriers are investing in access networks and mobile long-term evolution (LTE) roll-outs are beginning to gain momentum,” said Ovum analyst Ian Redpath.
“The optical networking market is also reaching a watershed moment in terms of technology. Networks based on 40G and 100G wavelengths are now poised for mass-market deployment.”