Escalating Demand for High Speed Internet Offering Tailwinds to Fiber to the Home (FTTH) Market

Rise in installation of smart systems at home, and increment in the mobile apps usage are the two important parameters which are advancing the requirement for high-speed Internet. Following these aspects, the requirement for fiber to the home (FTTH) is anticipated to boost during the forecast period (2019-2029). Increasing implementation of technology advancement solutions such as cloud computing, e-Learning, e-Governance, smart grids, and e-Health is expected to boost demand for high-speed FTTH over the years to come.

In 2018, the worldwide FTTH market reached a valuation of over US$ 12 Bn, and is projected to increase at a remarkable CAGR of almost 15% during 2019-2029.

“Service providers in the worldwide FTTH market could gain remarkable profits by centering on partnerships with service providers from developing countries in the APAC region, such as India and China. This allows all parties to set up sturdy distribution channels and supply chains, and enhance their development prospects,” says an FMI analyst.

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Key Takeaways of FTTH Market Study

  • Download speed of 50 to 100 Mbps remains highly preferred category.
  • The smart home application category is projected to be a majorly lucrative category in the FTTH market because of the expanding figure of smart homes in Western Europe and North America.
  • The VoIP application category dominated the worldwide fiber to the home market based on revenue during 2018.
  • APEJ is projected to account for high market share in the FTTH market throughout the assessment period. Additionally, India is projected to reflect a noteworthy CAGR amid the assessment period.

APAC to Direct the Second Wave of FTTH Market Growth

In the current scenario, Europe and North America are driving the first wave of market development in FTTH, gaining close to half of the overall valuation. The sturdy foothold of digital natives and expanding government activities, for example, the National Broadband Plan to give cost-proficient high-speed fiber for residential employment cases are fuelling these developed regional fibers to the home markets. Asia Pacific is likely to dominate the second flood of market development, attributable to fast Internet entrance and tech-empowered changes in different sectors. The FTTH market participants are making an adaptable ecosystem of partnerships with nearby service providers in developing regions including India and China to enhance retention and customer reach.

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Favorable Government Initiatives for Improved Internet Infrastructure to Promote FTTH Market Growth

Expanding government initiatives to boost digitalization and industrialization in developing nations provide regional growth prospects for providers in the FTTH market. Quick increment in data traffic in developing economies such as Brazil, Mexico, and India is another aspect that is generating profitable prospects in the FTTH market for service providers.

Various dwelling units would be the prompt clients of FTTH services, wherein, the FTTH systems deployment is evaluated to outperform US$ 6 Billion during 2020. Implementation in the small home office and single-family homes is additionally making value-creation prospects for FTTH market participants; on the other hand, this will mostly stagnate in the approaching years.

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