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Passive Optical Network (PON) Market by Product and Geography - Forecast and Analysis 2022-2026

  • Published: Apr 2022
  • Pages: 140
  • SKU: IRTNTR73317
Technavio

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The passive optical network (PON) market size is projected to increase by USD 25.89 billion by 2026, accelerating at a CAGR of 19.42%.

This passive optical network (PON) market research report extensively covers market segmentation by product (GPON and EPON) and geography (APAC, North America, Europe, South America, and Middle East and Africa).

The passive optical network (PON) market report further provides detailed information on several market vendors, including ADTRAN Inc., Calix Inc., Cisco Systems Inc., CommScope Inc., Dasan Network Solutions, Huawei technologies Co. Ltd., InCoax Networks AB, Mitsubishi Electric Corp., Motorola Solutions Inc., Nokia Corp., NXP Semiconductors NV, Telefonaktiebolaget LM Ericsson, Tellabs Access LLC, Verizon Communications Inc., and ZTE Corp. among others.

What will the Passive Optical Network (PON) Market Size be During the Forecast Period?

Download the Free Report Sample to Unlock the Passive Optical Network (PON) Market Size for the Forecast Period and Other Important Statistics

 

Passive Optical Network (PON) Market: Key Drivers, Trends, and Challenges

The migration from copper to optic fiber is notably driving the passive optical network (PON) market growth, although factors such as increasing installation and component costs may impede market growth. Our research analysts have studied the historical data and deduced the key market drivers and the COVID-19 pandemic impact on the passive optical network (PON) industry. The holistic analysis of the drivers will help in deducing end goals and refining marketing strategies to gain a competitive edge.

Key Passive Optical Network (PON) Market Driver

One of the key factors driving the global passive optical network (PON) market growth is the migration from copper to optic fiber. Optic fibers are inexpensive, lightweight, and non-flammable; they can carry higher bandwidths than copper wires. With the growing adoption of optical fibers to increase security, the demand for PONs for residential and commercial users is also increasing as they are used for faster and more efficient data transfer. In addition, as copper wiring can easily be tapped, thus, governments are enabling optic fiber technology for communication purposes. Optical fibers are the most integral parts of a PON, and hence, the demand for optical fibers will create a subsequent demand for PONs, which will drive the market growth during the forecast years.

Key Passive Optical Network (PON) Market Trend

Increase in internet traffic is one of the key PON market trends that is expected to impact the industry positively in the forecast period. With the arrival of 4G and the deployment of 5G, there will be more people going online, and this number is set to rise every year. Moreover, the introduction of Chinese smartphone makers such as Oppo, OnePlus, and Lenovo, which are priced competitively but have advanced features, will also boost Internet traffic. The growing internet traffic will require the use of better infrastructure to support high transmission speeds to manage this congestion. For this, optical fibers need to be used, which will drive the demand for PON deployment. Fiber optics can transfer data at high speeds and over long distances.

  • For instance, a local area network (LAN) using copper lines can support 3,000 telephonic calls, but a fiber-optic cable can carry over 30,000 calls.

Key Passive Optical Network (PON) Market Challenge

One of the key challenges to the global passive optical network market growth is the increasing installation and component costs. The cost of fibers depends on cable and connector styles. Each connector is priced from USD 1 to USD 15. Installing a fiber-optic line can cost up to USD 30,000 for an entire building to be wired. In addition, an optical modulator will cost about USD 5,000, and an amplitude modulator would cost about USD 2,500. Thus, for deploying a PON, the major component to install is a fiber-optic line, which is very expensive, as mentioned. Therefore, with the growing cost burden, the adoption of fiber optics is getting hampered, which will limit the demand for PONs in the forecast years.

This passive optical network (PON) market analysis report also provides detailed information on other upcoming trends and challenges that will have a far-reaching effect on the market growth. The actionable insights on the trends and challenges will help companies evaluate and develop growth strategies for 2022-2026.

Parent Market Analysis

Technavio categorizes the global passive optical network (PON) market as a part of the global electronic equipment and instruments market. Our research report has extensively covered external factors influencing the parent market growth potential in the coming years, which will determine the levels of growth of the passive optical network (PON) market during the forecast period.

Who are the Major Passive Optical Network (PON) Market Vendors?

The report analyzes the market’s competitive landscape and offers information on several market vendors, including:

 

  • ADTRAN Inc.
  • Calix Inc.
  • Cisco Systems Inc.
  • CommScope Inc.
  • Dasan Network Solutions
  • Huawei technologies Co. Ltd.
  • InCoax Networks AB
  • Mitsubishi Electric Corp.
  • Motorola Solutions Inc.
  • Nokia Corp.
  • NXP Semiconductors NV
  • Telefonaktiebolaget LM Ericsson
  • Tellabs Access LLC
  • Verizon Communications Inc.
  • ZTE Corp.

 

This statistical study of the passive optical network (PON) market encompasses successful business strategies deployed by the key vendors. The passive optical network (PON) market is fragmented and the vendors are deploying growth strategies such as technological innovation to compete in the market.

Product Insights and News

  • ADTRAN Inc. - The company offers a passive optical network, which allows residential customers to access broadband network for nominal line speed up to 1 gigabyte per second and commercial customers to reach speed up to 10 gigabytes per second. 
  • ADTRAN Inc. - Under the services and support segment, the company offers services including consulting, solutions integration, network implementation, maintenance, and professional and managed services. 

To make the most of the opportunities and recover from post COVID-19 impact, market vendors should focus more on the growth prospects in the fast-growing segments, while maintaining their positions in the slow-growing segments.

The passive optical network (PON) market forecast report offers in-depth insights into key vendor profiles. The profiles include information on the production, sustainability, and prospects of the leading companies.

Passive Optical Network (PON) Market Value Chain Analysis

Our report provides extensive information on the value chain analysis for the passive optical network (PON) market, which vendors can leverage to gain a competitive advantage during the forecast period. The end-to-end understanding of the value chain is essential in profit margin optimization and evaluation of business strategies. The data available in our value chain analysis segment can help vendors drive costs and enhance customer services during the forecast period.

Which are the Key Regions for Passive Optical Network (PON) Market?

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39% of the market’s growth will originate from APAC during the forecast period. China and Japan are the key markets for passive optical networks (PON) in APAC. Market growth in this region will be faster than the growth of the market in South America, Europe, and MEA

The growing interest of the governments of countries such as India and China in deploying fiber optics across the region will facilitate the passive optical network (PON) market growth in APAC over the forecast period. This market research report entails detailed information on the competitive intelligence, marketing gaps, and regional opportunities in store for vendors, which will assist in creating efficient business plans.

COVID Impact and Recovery Analysis

  • COVID-19 impact - In 2020, the outbreak of COVID-19 negatively impacted the regional PON market. The rise in the number of deaths due to the pandemic in China and other nations compelled governments to impose nationwide lockdowns, which impacted various businesses using PONs in the region as they were compelled to shut down temporarily. 
  • COVID-19 recovery - In 2021, the initiation of large-scale vaccination drives carried out by the governments of countries in APAC led to the resumption of regional activities. This has increased the demand for new PONs in the region. Thus, such factors will drive the growth of the regional market during the forecast period.

What are the Revenue-generating Product Segments in the Passive Optical Network (PON) Market?

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The passive optical network (PON) market share growth by the GPON segment will be significant during the forecast period. GPON is the dominant segment in the market because of its superior attributes such as:

  • A better user-experience
  • High bandwidth capacity
  • Significant short- and long-term cost savings
  • Safe and secure
  • Faster data rates
  • Eco-friendlyCovers up to 12.43 miles

This report provides an accurate prediction of the contribution of all the segments to the growth of the passive optical network (PON) market size and actionable market insights on post COVID-19 impact on each segment.

 

Passive Optical Network (PON) Market Scope

Report Coverage

Details

Page number

120

Base year

2021

Forecast period

2022-2026

Growth momentum & CAGR

Accelerate at a CAGR of 19.42%

Market growth 2022-2026

$ 25.89 billion

Market structure

Fragmented

YoY growth (%)

18.6

Regional analysis

APAC, North America, Europe, South America, and Middle East and Africa

Performing market contribution

APAC at 39%

Key consumer countries

US, China, Japan, UK, and Germany

Competitive landscape

Leading companies, Competitive strategies, Consumer engagement scope

Key companies profiled

ADTRAN Inc., Calix Inc., Cisco Systems Inc., CommScope Inc., Dasan Network Solutions, Huawei technologies Co. Ltd., InCoax Networks AB, Mitsubishi Electric Corp., Motorola Solutions Inc., Nokia Corp., NXP Semiconductors NV, Telefonaktiebolaget LM Ericsson, Tellabs Access LLC, Verizon Communications Inc., and ZTE Corp.

Market dynamics

Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID 19 impact and recovery analysis and future consumer dynamics, Market condition analysis for forecast period

Customization purview

If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

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What are the Key Data Covered in this Passive Optical Network (PON) Market Report?

  • CAGR of the market during the forecast period 2022-2026
  • Detailed information on factors that will drive passive optical network (PON) market growth during the next five years
  • Precise estimation of the passive optical network (PON) market size and its contribution to the parent market
  • Accurate predictions on upcoming trends and changes in consumer behavior
  • The growth of the passive optical network (PON) industry across APAC, North America, Europe, South America, and Middle East and Africa
  • A thorough analysis of the market’s competitive landscape and detailed information on vendors
  • Comprehensive details of factors that will challenge the growth of passive optical network (PON) market vendors

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1 Executive Summary

  • 1.1 Market overview
    • Exhibit 01: Executive Summary – Chart on Market Overview
    • Exhibit 02: Executive Summary – Data Table on Market Overview
    • Exhibit 03: Executive Summary – Chart on Global Market Characteristics
    • Exhibit 04: Executive Summary – Chart on Market by Geography
    • Exhibit 05: Executive Summary – Chart on Market Segmentation by Product
    • Exhibit 06: Executive Summary – Chart on Incremental Growth
    • Exhibit 07: Executive Summary – Data Table on Incremental Growth
    • Exhibit 08: Executive Summary – Chart on Vendor Market Positioning

2 Market Landscape

  • 2.1 Market ecosystem
    • Exhibit 09: Parent market
    • Exhibit 10: Market Characteristics

3 Market Sizing

  • 3.1 Market definition
    • Exhibit 11: Offerings of vendors included in the market definition
  • 3.2 Market segment analysis
    • Exhibit 12: Market segments
  • 3.3 Market size 2021
    • 3.4 Market outlook: Forecast for 2021-2026
      • Exhibit 13: Chart on Global - Market size and forecast 2021-2026 ($ million)
      • Exhibit 14: Data Table on Global - Market size and forecast 2021-2026 ($ million)
      • Exhibit 15: Chart on Global Market: Year-over-year growth 2021-2026 (%)
      • Exhibit 16: Data Table on Global Market: Year-over-year growth 2021-2026 (%)

    4 Five Forces Analysis

    • 4.1 Five forces summary
      • Exhibit 17: Five forces analysis - Comparison between2021 and 2026
    • 4.2 Bargaining power of buyers
      • Exhibit 18: Chart on Bargaining power of buyers – Impact of key factors 2021 and 2026
    • 4.3 Bargaining power of suppliers
      • Exhibit 19: Bargaining power of suppliers – Impact of key factors in 2021 and 2026
    • 4.4 Threat of new entrants
      • Exhibit 20: Threat of new entrants – Impact of key factors in 2021 and 2026
    • 4.5 Threat of substitutes
      • Exhibit 21: Threat of substitutes – Impact of key factors in 2021 and 2026
    • 4.6 Threat of rivalry
      • Exhibit 22: Threat of rivalry – Impact of key factors in 2021 and 2026
    • 4.7 Market condition
      • Exhibit 23: Chart on Market condition - Five forces 2021 and 2026

    5 Market Segmentation by Product

    • 5.1 Market segments
      • Exhibit 24: Chart on Product - Market share 2021-2026 (%)
      • Exhibit 25: Data Table on Product - Market share 2021-2026 (%)
    • 5.2 Comparison by Product
      • Exhibit 26: Chart on Comparison by Product
      • Exhibit 27: Data Table on Comparison by Product
    • 5.3 GPON - Market size and forecast 2021-2026
      • Exhibit 28: Chart on GPON - Market size and forecast 2021-2026 ($ million)
      • Exhibit 29: Data Table on GPON - Market size and forecast 2021-2026 ($ million)
      • Exhibit 30: Chart on GPON - Year-over-year growth 2021-2026 (%)
      • Exhibit 31: Data Table on GPON - Year-over-year growth 2021-2026 (%)
    • 5.4 EPON - Market size and forecast 2021-2026
      • Exhibit 32: Chart on EPON - Market size and forecast 2021-2026 ($ million)
      • Exhibit 33: Data Table on EPON - Market size and forecast 2021-2026 ($ million)
      • Exhibit 34: Chart on EPON - Year-over-year growth 2021-2026 (%)
      • Exhibit 35: Data Table on EPON - Year-over-year growth 2021-2026 (%)
    • 5.5 Market opportunity by Product
      • Exhibit 36: Market opportunity by Product ($ million)

    6 Customer Landscape

    • 6.1 Customer landscape overview
      • Exhibit 37: Analysis of price sensitivity, lifecycle, customer purchase basket, adoption rates, and purchase criteria

    7 Geographic Landscape

    • 7.1 Geographic segmentation
      • Exhibit 38: Chart on Market share by geography 2021-2026 (%)
      • Exhibit 39: Data Table on Market share by geography 2021-2026 (%)
    • 7.2 Geographic comparison
      • Exhibit 40: Chart on Geographic comparison
      • Exhibit 41: Data Table on Geographic comparison
    • 7.3 APAC - Market size and forecast 2021-2026
      • Exhibit 42: Chart on APAC - Market size and forecast 2021-2026 ($ million)
      • Exhibit 43: Data Table on APAC - Market size and forecast 2021-2026 ($ million)
      • Exhibit 44: Chart on APAC - Year-over-year growth 2021-2026 (%)
      • Exhibit 45: Data Table on APAC - Year-over-year growth 2021-2026 (%)
    • 7.4 North America - Market size and forecast 2021-2026
      • Exhibit 46: Chart on North America - Market size and forecast 2021-2026 ($ million)
      • Exhibit 47: Data Table on North America - Market size and forecast 2021-2026 ($ million)
      • Exhibit 48: Chart on North America - Year-over-year growth 2021-2026 (%)
      • Exhibit 49: Data Table on North America - Year-over-year growth 2021-2026 (%)
    • 7.5 Europe - Market size and forecast 2021-2026
      • Exhibit 50: Chart on Europe - Market size and forecast 2021-2026 ($ million)
      • Exhibit 51: Data Table on Europe - Market size and forecast 2021-2026 ($ million)
      • Exhibit 52: Chart on Europe - Year-over-year growth 2021-2026 (%)
      • Exhibit 53: Data Table on Europe - Year-over-year growth 2021-2026 (%)
    • 7.6 South America - Market size and forecast 2021-2026
      • Exhibit 54: Chart on South America - Market size and forecast 2021-2026 ($ million)
      • Exhibit 55: Data Table on South America - Market size and forecast 2021-2026 ($ million)
      • Exhibit 56: Chart on South America - Year-over-year growth 2021-2026 (%)
      • Exhibit 57: Data Table on South America - Year-over-year growth 2021-2026 (%)
    • 7.7 Middle East and Africa - Market size and forecast 2021-2026
      • Exhibit 58: Chart on Middle East and Africa - Market size and forecast 2021-2026 ($ million)
      • Exhibit 59: Data Table on Middle East and Africa - Market size and forecast 2021-2026 ($ million)
      • Exhibit 60: Chart on Middle East and Africa - Year-over-year growth 2021-2026 (%)
      • Exhibit 61: Data Table on Middle East and Africa - Year-over-year growth 2021-2026 (%)
    • 7.8 US - Market size and forecast 2021-2026
      • Exhibit 62: Chart on US - Market size and forecast 2021-2026 ($ million)
      • Exhibit 63: Data Table on US - Market size and forecast 2021-2026 ($ million)
      • Exhibit 64: Chart on US - Year-over-year growth 2021-2026 (%)
      • Exhibit 65: Data Table on US - Year-over-year growth 2021-2026 (%)
    • 7.9 China - Market size and forecast 2021-2026
      • Exhibit 66: Chart on China - Market size and forecast 2021-2026 ($ million)
      • Exhibit 67: Data Table on China - Market size and forecast 2021-2026 ($ million)
      • Exhibit 68: Chart on China - Year-over-year growth 2021-2026 (%)
      • Exhibit 69: Data Table on China - Year-over-year growth 2021-2026 (%)
    • 7.10 UK - Market size and forecast 2021-2026
      • Exhibit 70: Chart on UK - Market size and forecast 2021-2026 ($ million)
      • Exhibit 71: Data Table on UK - Market size and forecast 2021-2026 ($ million)
      • Exhibit 72: Chart on UK - Year-over-year growth 2021-2026 (%)
      • Exhibit 73: Data Table on UK - Year-over-year growth 2021-2026 (%)
    • 7.11 Japan - Market size and forecast 2021-2026
      • Exhibit 74: Chart on Japan - Market size and forecast 2021-2026 ($ million)
      • Exhibit 75: Data Table on Japan - Market size and forecast 2021-2026 ($ million)
      • Exhibit 76: Chart on Japan - Year-over-year growth 2021-2026 (%)
      • Exhibit 77: Data Table on Japan - Year-over-year growth 2021-2026 (%)
    • 7.12 Germany - Market size and forecast 2021-2026
      • Exhibit 78: Chart on Germany - Market size and forecast 2021-2026 ($ million)
      • Exhibit 79: Data Table on Germany - Market size and forecast 2021-2026 ($ million)
      • Exhibit 80: Chart on Germany - Year-over-year growth 2021-2026 (%)
      • Exhibit 81: Data Table on Germany - Year-over-year growth 2021-2026 (%)
    • 7.13 Market opportunity by geography
      • Exhibit 82: Market opportunity by geography ($ million)

    8 Drivers, Challenges, and Trends

    • 8.1 Market drivers
      • 8.2 Market challenges
        • 8.3 Impact of drivers and challenges
          • Exhibit 83: Impact of drivers and challenges in 2021 and 2026
        • 8.4 Market trends

          9 Vendor Landscape

          • 9.1 Overview
            • 9.2 Vendor landscape
              • Exhibit 84: Overview on Criticality of inputs and Factors of differentiation
            • 9.3 Landscape disruption
              • Exhibit 85: Overview on factors of disruption
            • 9.4 Industry risks
              • Exhibit 86: Impact of key risks on business

            10 Vendor Analysis

            • 10.1 Vendors covered
              • Exhibit 87: Vendors covered
            • 10.2 Market positioning of vendors
              • Exhibit 88: Matrix on vendor position and classification
            • 10.3 ADTRAN Inc.
              • Exhibit 89: ADTRAN Inc. - Overview
              • Exhibit 90: ADTRAN Inc. - Business segments
              • Exhibit 91: ADTRAN Inc. - Key offerings
              • Exhibit 92: ADTRAN Inc. - Segment focus
            • 10.4 Calix Inc.
              • Exhibit 93: Calix Inc. - Overview
              • Exhibit 94: Calix Inc. - Product / Service
              • Exhibit 95: Calix Inc. - Key news
              • Exhibit 96: Calix Inc. - Key offerings
            • 10.5 Cisco Systems Inc.
              • Exhibit 97: Cisco Systems Inc. - Overview
              • Exhibit 98: Cisco Systems Inc. - Business segments
              • Exhibit 99: Cisco Systems Inc. - Key news
              • Exhibit 100: Cisco Systems Inc. - Key offerings
              • Exhibit 101: Cisco Systems Inc. - Segment focus
            • 10.6 CommScope Inc.
              • Exhibit 102: CommScope Inc. - Overview
              • Exhibit 103: CommScope Inc. - Business segments
              • Exhibit 104: CommScope Inc. - Key news
              • Exhibit 105: CommScope Inc. - Key offerings
              • Exhibit 106: CommScope Inc. - Segment focus
            • 10.7 Dasan Network Solutions
              • Exhibit 107: Dasan Network Solutions - Overview
              • Exhibit 108: Dasan Network Solutions - Product / Service
              • Exhibit 109: Dasan Network Solutions - Key offerings
            • 10.8 Mitsubishi Electric Corp.
              • Exhibit 110: Mitsubishi Electric Corp. - Overview
              • Exhibit 111: Mitsubishi Electric Corp. - Business segments
              • Exhibit 112: Mitsubishi Electric Corp. - Key news
              • Exhibit 113: Mitsubishi Electric Corp. - Key offerings
              • Exhibit 114: Mitsubishi Electric Corp. - Segment focus
            • 10.9 Nokia Corp.
              • Exhibit 115: Nokia Corp. - Overview
              • Exhibit 116: Nokia Corp. - Business segments
              • Exhibit 117: Nokia Corp. - Key offerings
              • Exhibit 118: Nokia Corp. - Segment focus
            • 10.10 Tellabs Access LLC
              • Exhibit 119: Tellabs Access LLC - Overview
              • Exhibit 120: Tellabs Access LLC - Product / Service
              • Exhibit 121: Tellabs Access LLC - Key offerings
            • 10.11 Verizon Communications Inc.
              • Exhibit 122: Verizon Communications Inc. - Overview
              • Exhibit 123: Verizon Communications Inc. - Business segments
              • Exhibit 124: Verizon Communications Inc. - Key offerings
              • Exhibit 125: Verizon Communications Inc. - Segment focus
            • 10.12 ZTE Corp.
              • Exhibit 126: ZTE Corp. - Overview
              • Exhibit 127: ZTE Corp. - Business segments
              • Exhibit 128: ZTE Corp. - Key news
              • Exhibit 129: ZTE Corp. - Key offerings
              • Exhibit 130: ZTE Corp. - Segment focus

            11 Appendix

            • 11.1 Scope of the report
              • 11.2 Inclusions and exclusions checklist
                • Exhibit 131: Inclusions checklist
                • Exhibit 132: Exclusions checklist
              • 11.3 Currency conversion rates for US$
                • Exhibit 133: Currency conversion rates for US$
              • 11.4 Research methodology
                • Exhibit 134: Research methodology
                • Exhibit 135: Validation techniques employed for market sizing
                • Exhibit 136: Information sources
              • 11.5 List of abbreviations
                • Exhibit 137: List of abbreviations

              Research Framework

              Technavio presents a detailed picture of the market by way of study, synthesis, and summation of data from multiple sources. The analysts have presented the various facets of the market with a particular focus on identifying the key industry influencers. The data thus presented is comprehensive, reliable, and the result of extensive research, both primary and secondary.

              TechnavioINFORMATION SOURCES

              Primary sources

              • Manufacturers and suppliers
              • Channel partners
              • Industry experts
              • Strategic decision makers

              Secondary sources

              • Industry journals and periodicals
              • Government data
              • Financial reports of key industry players
              • Historical data
              • Press releases
              Technavio

              TechnavioDATA ANALYSIS

              Data Synthesis

              • Collation of data
              • Estimation of key figures
              • Analysis of derived insights

              Data Validation

              • Triangulation with data models
              • Reference against proprietary databases
              • Corroboration with industry experts
              Technavio

              TechnavioREPORT WRITING

              Qualitative

              • Market drivers
              • Market challenges
              • Market trends
              • Five forces analysis

              Quantitative

              • Market size and forecast
              • Market segmentation
              • Geographical insights
              • Competitive landscape
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              The passive optical network (pon) market growth will increase by $25894.61 million during 2022-2026.
              The passive optical network (pon) market is expected to grow at a CAGR of 19.42% during 2022-2026.
              Technavio has segmented the passive optical network (pon) market by product (GPON, EPON, and Other imaging techniques) and geographic (APAC, North America, Europe, South America, and Middle East and Africa).
              ADTRAN Inc., Calix Inc., Cisco Systems Inc., CommScope Inc., Dasan Network Solutions, Huawei technologies Co. Ltd., InCoax Networks AB, Mitsubishi Electric Corp., Motorola Solutions Inc., Nokia Corp., NXP Semiconductors NV, Telefonaktiebolaget LM Ericsson, Tellabs Access LLC, Verizon Communications Inc., ZTE Corp. are a few of the key vendors in the passive optical network (pon) market.
              APAC will register the highest growth rate of 38.57% among the other regions. Therefore, the passive optical network (pon) market in APAC is expected to garner significant business opportunities for the vendors during the forecast period.
              The key factors driving the passive optical network (pon) market growth are:
              • Migration from copper to optic fiber
              • Increase in internet traffic
              The passive optical network (pon) market vendors should focus on grabbing business opportunities from the gpon segment as it accounted for the largest market share in the base year.
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