Optical Connection Equipment Market Trends In 2016
A research company called IHS reported that many optical communication industries got great improvement in 2015 even though there are full of competitions. Now will optical interconnection hardware ma...
A research company called IHS reported that many optical communication industries got great improvement in 2015 even though there are full of competitions. Now will optical interconnection hardware market keep growing in 2016?
Driven by the increasing needs for higher Ethernet speed, the optical interconnection grows rapidly in the last year. The advanced technologies and applications like Cloud, Internet of Things and virtual data center are widespread globally. Besides, the wide deployment of FTTx and 4G network also drives the optical interconnection market increasing. In 2016, the advanced technology and fiber optic network will be more and more pervasive. That will spur the growth of the optical interconnection hardware market. The main characteristics of 2016 optical interconnection hardware market can be concluded by the three keywords: high speed, compatibility and high density.
It’s obvious that only high speed Ethernet like 40G or 100G can keep up with the market growing trends. In the past years, some large data centers have switched to 40G and 100G, although this network technology has not been widely applied. However, according to research by IHS, 40G and 100G will be the key growth segment of the market in the coming years, and 2016 might be the breakout year of 100G technologies. There are statistics about the prediction of global revenue from 2015 to 2019. The 100G market is supposed to grow 262 percent from 2015 to 2019. So sales of 100G optical interconnection hardware market will also increase largely. As one of the leading providers in optical communication, Fiberstore has already launched 100G interconnection products, like 100G optical transceivers and direct attach cable.
As we know, optical transceivers, direct attach cables and switches are indispensable for every data center. However, the switch market has already been monopolized by large vendors like Cisco. And the original products are quite expensive. So many data centers have to slow down their migration steps to 40/100G due to the cost. Luckily, vendors like Fiberstore can provide full series optical transceivers with a lifetime warranty, fully compatible with networking kit. What’s more, these products, named the third party products, are much cheaper than the original brand ones and have the same performance. These products offer customers more choices with low prices, which is very likely to promote the optical interconnection market, especially, for 100G products.
Though the high data rate products will be less expensive in 2016, there are still various problems to be solved for optical interconnection. High data rates means more cables and devices are needed while the data center space is limited. One method is to enlarge the data center size. But this method is not advocated since it costs much. So another economical method in interconnection is to increase the cabling density and port density. Vendors satisfy the market needs by providing small form factor optics, high density network rack system and MPO products. In 2016, we innovatively provide high density LC and MPO patch cords with push-pull tabs which can increase the cabling density and flexibility effectively. High density is the irreversible trend for both data center and optical interconnection hardware market.
Three most obvious characteristics of optical interconnection hardware market will be high speed, compatibility and high density. The increasing need for higher Ethernet speed will lead to the continuous optical interconnection hardware market growth in 2016. However, except opportunities, the competition in optical interconnection market will be fiercer. More vendors want to share the big cake of optical interconnect hardware market. On one side, we will provide more favorable optical interconnection products to attract customers. On the other side, we will improve the products quality with innovative technology to meet the challenges and opportunities in 2016.
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ABOUT THE AUTHOR
I'm currently working as a Telecom Engineer in Fiberstore, an innovative company providing fiber connectivity network solutions, such as optical transceivers, fiber cables, testers, etc. for carriers, ISPs, content providers and networks. Fiberstore is the global market innovator and application technology pioneer in the field of optical network devices and interconnection.