High-Speed Interconnects Market Trends

Growth Drivers

• Growth in the Frequency of People Working from Home

A majority of employees across the world are projected to work from home for about one to three days per week by 2022, while approximately 7% of those questioned desired a full-time remote work schedule. An efficient work-from-home arrangement requires high-speed internet to allow smooth Zoom meetings, quick file transfers, and simple access to company applications. Therefore, the need for high-speed interconnects is growing.

• Growing IoT Connected Devices

With the growing adoption of IoT, the need to provide efficient and reliable interconnection is on the rise.  In order for the IoT operation system to reach all of its capabilities, an effective connectivity ecosystem has to be established which embraces alternative wireless protocols and high-speed 5G technology and WiFi 6+ networks while taking advantage of their different advantages for certain IoT applications.

• Surge in Video Streaming or Other Social Activities

Video streaming or other activities such as surfing social media creates huge data traffic. Due to the sudden increase in data traffic, especially in cloud infrastructure, considerable improvements in data interface IP speed and latency are required. Therefore, the need for high-speed interconnections is also on boost.

Challenges

• High Cost of Implementing High-Speed Interconnects
• Involvement of Complex Configurations
• High Power Consumption – With the high speed comes the high energy consumption. Moreover, the incorporation of cloud services to the existing widely linked Internet has resulted in an unparalleled increase in sheer processing and storage requirements for data centers. The consumption of energy is directly impacted by this growth. Hence, a large number of the organization are focusing on manufacturing low-speed interconnects which is designed to give high efficiency. Therefore, this element is expected to limit the adoption of high-speed interconnects, hindering the surge in high-speed interconnects market.