Optical transceivers generally used in actual network environments where ethernet cables cannot cover, and fiber used to extend the transmission distance. At the same time, they help to connect the last mile of optical fiber lines to metropolitan area networks and external networks role. With fiber optic transceivers, it also provides a cheap solution for users who need to upgrade the system from copper to fiber, and for users who lack funds, human resources, or time. The function of the optical transceiver is to convert the electrical signal into an optical signal and send it out. At the same time, it can turn the received optical signal into an electrical signal and input it to the receiving end.
The global optical transceivers market expected to propel the market growth at a colossal CAGR in the forecast period from 2020-2027. With the introduction and development of large data centers, the Internet, enterprise augmented reality, and the Internet of Things is driving the adoption of optical networks.
Moreover, broadband use in various industries has driven the development of the optical transceiver market. Video, internet adoption, and tablet computers have all pushed the demand for broadband. Also, applications, augmented reality, the Internet of Things, popularity of cloud computing, people using smartphones will have a significant impact on the market.
Furthermore, large data centers supporting online transactions, video streaming, social networking, and cloud services in various industries expected to use optical transceivers as the primary technology. Driven by the availability and cost-effectiveness of 100Gbps and 400Gbps equipment, the development of next-generation optical transceiver equipment will enable users to reduce power consumption, reduce capital consumption, and use smarter technologies.
Higher bandwidth offer by the optical transceiver is the growth driver as no other cable can offer transmission of data with higher bandwidth that fiber does. The volume that fiber cable carries is more than the copper cables in the long-distance; thus, the optical transceiver is also for transmission of data in long distance.
The emerging technology in the data centers where the data is transferred through the fiber cable, which ensures no leakage of data, or there is no way to detect the data transmitted to the electromagnet energy. Thus, ensure the absolute security of the data and information to the users.
Based on the Form factor, the global Optical Transceiver market segmented into SFF, SFP, SFP+, QSFP, QSFP+, QSFP28. The Quad small form-factor pluggable (QSFP) segment has dominated the market share of the global Optical Transceiver market. QSFP optical transceivers are used in switches, routers, data centers, and other ethernet applications, increasing panel PCB density by more than 60% and simplifying thermal management by reducing power consumption.
Moreover, compared with the application of four independent SFP modules, its power consumption can be reduced by more than 50%. This new transceiver provides a digital diagnostic monitoring interface that allows customers to easily manage and monitor key system parameters of the system through module performance alerts and warning signs.
Based on the data rate, the global Optical Transceiver market bifurcated into Less than 10 GBPS, 10 GBPS to 40 GBPS, 41 GBPS to 100 GBPS, and More than 100 GBPS. The 41 GBPS to 100 GBPS segment has bolstered the market share for the global optical transceiver market. The data rate between 40 GBPS to 100 GBPS is a standard requirement owing to its cost-effectiveness, and it provides instant fiber connectivity to different fiber and connects to the network at a rapid rate.
Based on the Fiber type, the global Optical Transceiver bifurcated into Single-Mode, Multimode. The single-mode segment has captured the largest market share in the global optical transceiver market. The single-mode bandwidth potential of single-mode fiber optic transceivers makes it the best choice for high-speed and long-distance data transmission. Single-mode fiber optic transceivers are particularly suitable for various broadband data networks such as telecommunications, cable television, railway, military, financial securities, customs, civil aviation, marine, power, water conservancy, and oil fields, as well as high-reliability data transmission or IP data transmission. The realm of the web. It is the ideal application equipment for the broadband campus network, broadband cable television network, and intelligent broadband community fiber-to-the-building and fiber-to-the-home. Solve the problem of long-distance data transmission.
Based on the Application type, the global Optical Transceiver segmented into Telecom, Data Center, and Enterprise. The data center segment will dominate the market share of the global optical transceiver market in the forecast period from 2020-2027. Owing to the development of powerful chips for network switches and integrated circuits, and hyper-scale data center operators are driving the demand for the broader adoption of the optical transceiver. Thus, improve the density of the quad small form-factor pluggable. As datacenter’s storage capacity is increasing due to the emerging requirement owing to cloud storage, machine learning, artificial intelligence, and virtual reality are straining the data center infrastructure to expand.
Based on geography, the global Optical Transceiver market segmented into North America, Europe, Asia Pacific, South America, and Middle East & Africa. The Asia Pacific region has dominated the demand for the optical transceiver market in the forecast period from 2020-2027. Owing to rising in the telecommunication industry, growing penetration of 4G and 5G technology coupled with emerging demand for smartphones, expansion of data centers, and increasing new startups and a massive investment in virtual reality will help in deriving the need for the optical transceiver in the global market.
Companies such II-VI Incorporated, FIT Hong Teng Limited, Lumentum, Sumitomo Electric Industries Ltd, Accelink, Applied Optoelectronics, Fujitsu Optical Components, Innolight, Mellanox, NeoPhotonics, Ciena, Cisco, Hisense Broadband, Intel, NEC, Perle Systems, Reflex Photonics, Smartoptics, Solid Optics, Source Photonics, and others are key players in the global Optical Transceiver market.
By Form Factor
By Data Rate
By Fiber type
An optical transceiver is a single unit that functions with a transmitter and receiver, widely used for networking hardware installations.
The current market size of the optical transceiver market is projected to grow from USD 7.32 billion in 2020 to USD 15.95 billion by 2027.
The current growth rate of the market is projected at 15.5% from 2021 to 2027.
Organizations like II-VI Incorporated, FIT Hong Teng Limited, Lumentum, Sumitomo Electric Industries Ltd, Accelink, Applied Optoelectronics, Fujitsu Optical Components, Innolight, Mellanox, NeoPhotonics, Ciena, Cisco, Hisense Broadband, Intel, NEC, Perle Systems, Reflex Photonics, Smartoptics, Solid Optics, Source Photonics, and others are key players in the global Optical Transceiver market.
The increase in network complexity and compactness of transceivers IC’s are the reasons that are limiting the market’s growth.