Fiber Optics Testing Market Trends

Growth Drivers

• Growing Adoption of 5G Services– 5G uses radio waves to send and receive data, whereas fiber optic communication uses light to send and receive data via fiber optic cables. 5G subscriptions are predicted to be highest in North East Asia, South East Asia, India, Nepal, and Bhutan. Moreover, 5G subscribers are expected to skyrocket globally between 2019 and 2027, rising from over 12 million to more than 4 billion.
• Rising Demand for High-Quality Videos – Fiber optic communication is becoming increasingly crucial for transmitting high-quality live video, simplifying your critical surveillance applications. The penetration rate of OTT platforms is likely to be around 48% in 2023, and it is expected to rise to nearly 53% by 2027. Moreover, globally the number of users of the OTT platform is anticipated to reach around 4 billion users by 2027.
• Increasing Adoption of Mobile Phones–Mobiles phones have increased the demand for faster and secure networks.  The number of mobile subscribers globally was around 7 billion in 2021, with estimates indicating that this figure will climb to more than 7 billion by 2022. The global mobile user base is expected to reach approximately 8 billion by 2025.
• Growing Demand for Cloud Services – Cloud computing is also a challenging technical concept in terms of data storage space, transmission speed, and adaptability. Fiber optic equipment is now used to do this. Approximately 70% of global cloud users intend to expand their cloud budgets in the future. Furthermore, by 2022, nearly 57% of organizations will have migrated their workloads to the cloud.
• Rising Prevalence of Digitization–With the growing digitization the data generation on the internet is increasing to pace up this process fiber optics are used as they aid the transmission of images, voice messages, and movies at a very high speed. Around 89% of all organizations in the world have already implemented or plan to implement a digital-first business strategy.

Challenges

• Lack of Skilled Workers – There is a lack of skilled workers in the industry that have the necessary expertise to install the fiber optics and do its maintenance. The shortage of workers is likely to bring challenges for the providers to scale their operations.
• There are a range of regulations that are hard to adhere
• Vulnerability to hacking and other security concerns