- Fiber to the home provides customers and businesses faster connection speeds and higher bandwidth.
- Optical fiber carries bandwidth signals without degradation for more than 60 kilometers.
- High fiber cable installation charges (compared to copper wires) can be a major restraint in the fiber to the home market.
Fiber to the home (FTTH) is communication architecture in which high-speed internet, digital television and telephone services are provided to residences and businesses through optical fiber directly from the operator’s switching equipment. Global Fiber to the home (FTTH) Market is expected to grow through 2025.
Fiber to the home provides customers and businesses faster connection speeds and higher bandwidth carrying capacity than twisted pair conductors. FTTH brings optical fiber cables directly from the operator to building/homes replacing the existing copper cables or coaxial cable. This allows large bandwidth with higher delivery speed for consumers, enabling more robust video, internet and voice service. Optical fiber carries bandwidth signals without degradation for more than 60 kilometers whereas, copper wires can carry high bandwidth but for a few hundred yards, so connection through copper wire is not feasible for longer distances.
Fiber cables offer reliability and consumes lower energy to run a network and carries higher bandwidth which is a major driver for this market. Growing demand for high-speed internet in residences due to increasing use of mobile apps and installation of smart systems in more homes is fuelling the FTTH market.
The telecom sector is growing as customers are opting for fast speed internet. Also, vast development in fiber optics and increasing use of the internet is penetrating the FTTH market. However, high fiber cable installation charges (compared to copper wires) can be a major restraint in the fiber to the home market.
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Deutsche Telekom AG, China Telecom., Vodafone Group plc, AT&T Inc., China Mobile Ltd., Verizon Communications Inc., Nippon Telegraph & Telephone Corporation, DTRAN Inc, 3M Communication Technologies, DASAN Networks Inc, Huawei Technologies Co. Ltd,., FiberHome Networks Co. Ltd., Softbank Group Corp., Telefonica S.A., ZTE Corporation, Enablence Technologies Inc., Fujikura Ltd, Mitsubishi Electric Corp. and Superior Essex Inc. are some of the major players operating in the FTTH market.
The fiber to the home market is segmented on the basis of download speed, application and geography. On the basis of download speed the market can be split into Less than 50 Mbps, 50 to 100 Mbps, 100 Mbps to 1 Gbps, 1 Gbps to 10 Gbps. 100 Mbps to 1 Gbps is expected to dominate the market followed by 50 to 100 Mbps. By application, the fiber to the home market is segmented into internet TV, VoIP, interactive gaming, VPN on broadband, virtual private LAN service, remote education and smart home.
On the basis of region, the fiber to the home market is segmented into North America, Latin America, Europe, Middle East & Africa, and Asia-Pacific. North America has dominated the market due to growing demand in high speed internet for mobile and smart home equipment. Asia-Pacific region is expected to grow in the forthcoming years due to government investment in telecom industries and rapid increase in the internet users in this region. In India, Bharti Airtel and Reliance Jio are investing in fiber to the home market.