"GPON Market by Component (OLT, and ONT), Technology (2.5G PON, XG-PON, XGS-PON, and NG-PON2), Application (FTTH, Mobile Backhaul), Vertical (Transportation, Telecom, Healthcare, Energy & Utilities, MTU), Region - Global Forecast To 2025"
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XG-PON, XGS-PON, and NG-PON2 are expected to be the fastest growing technologies in the GPON technology market. The rising demand for quad-play services that require high-speed broadband, declining prices of XG-PON systems, and a growing number of field trials of XGS-PON technology followed by its commercialization are the key reasons behind the growth of these two technologies. The market for NG-PON2 technology is expected to grow primarily because it has an advantage of wavelength mobility, and it is the most preferred choice of technology for use in 5G mobile backhaul applications, which is the primary reason for the highest growth rate of NG-PON2 technology in the coming years. This will lead to USD 3.5 billion opportunity in 2025..
“Optical network terminal (ONT) to lead the GPON market during the forecast period.”
Optical network terminal (ONT), also known as optical network units (ONU), is another important networking hardware installed at the user premise, which is used for the transmission of traffic through the GPON network. Its primary function is to convert optical signals transmitted via optical fiber to electrical signals, which are forwarded to business and residential users.
The GPON market is expected to be led by the ONT component in terms of volume and value during the forecast period. This, coupled with an increasing number of users availing voice, video & data services that need to be connected through the ONT hardware component, will lead to a growth of the GPON sector.
“The GPON market for the mobile backhaul application expected to grow at the highest CAGR during the forecast period.”
Among the optical fiber technologies available for mobile backhaul, GPON networks are increasingly being deployed because of its capability to allow telecom operators to increase their bandwidth capacity and maintaining the quality of service and high reliability while lowering the operational cost. Additional benefits offered by the GPON network for mobile backhaul application includes the efficient topology, minimal hardware requirement, scalability, redundancy, and synergy using the existing fixed-line access. The increasing adoption of GPON networks for mobile backhauling makes the economies of GPON more attractive to network operators.
“Market in Rest of the World expected to grow at the highest CAGR during the forecast period.”
The rest of the world comprises South America, the Middle East, and Africa, which are the potential markets for GPON. Increasing subscription base of FTTH users in the South American countries is driving the growth of the GPON market in this region. Saudi Arabia, UAE, and Turkey are some of the prominent countries witnessing increasing demand for GPON in the Middle East region. Growing investments by telecom companies in Africa’s optical network has resulted in the growth of the GPON market.
The major companies involved in the development and supply of GPON include Huawei (China), Nokia (Finland), ZTE (China), Fiberhome (China), Calix (US), ADTRAN (US), DASAN Zhone (US), Cisco (US), NEC (Japan), Allied Telesis (Japan), Iskratel (Slovenia), Unizyx (Taiwan), and Alphion (US).
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