Home > Semiconductors & Electronics > Telecom and Networking > Telecom Hardware > GPON Market

GPON Market Size, By Component (Product, Service), By Technology (2.5 GPON, XG-PON, XGS-PON, NG-PON2), By Application (Fiber To The Home (FTTH), Other FTTX, Mobile Backhaul), By End-use (Residential, Business [IT & Telecom, BFSI, Healthcare, Government]) & Forecast, 2023-2032

  • Report ID: GMI2954
  • Published Date: Jan 2023
  • Report Format: PDF

GPON Market Size

GPON Market size was recorded at over USD 15 billion in revenue in 2022. Driven by favorable broadband access initiatives by government organizations, the industry is expected to grow at a more than 10% CAGR from 2023 to 2032.

GPON Market

The burgeoning internet usage in developing countries and the global increase in IP traffic are aiding market progression. The need for GPON technology-based solutions including ONTs and OLTs has surged as a result of government plans for fixed broadband infrastructure and smart city developments. For instance, in March 2021, the UK government launched Project Gigabit worth £5bn billion (~USD 6 billion) to provide the fastest gigabit broadband connectivity in Hampshire, Norfolk, Suffolk, Shropshire, Worcestershire, and Isle of Wight districts with an aim of recovering from the impact of the pandemic and fortify country-wide network.

Excessive developments in network technology may restrain industry progression

Consistent advancements in network technology are a major factor restraining GPON market growth. Network modifications are necessary, particularly in the central office, for the migration and physical installation of next-generation PON services. Operators often face setbacks to keep up with rapid technological innovation to provide customers with better connectivity and competitive bandwidth options. Nonetheless, with the growing importance of GPON in network connectivity and forward error correction, the market is likely to witness steady growth in the upcoming years.

GPON Market Analysis

In terms of component, GPON market is categorized into product and service. The product segment held over 60% market share in 2022. Since ONT is regarded as necessary hardware installed at the user premise, transforming optical signals into electric signals, which is aiding segment expansion. According to the U.S. Energy Information Administration report, in 2021, the U.S. electric utilities have about 111 million advanced smart metering infrastructure installations. The segment growth is also likely to be fueled by the increasing demand for triple-play services and high-speed internet connections.

Under product, GPON market is further classified into optical network terminal (ONT), optical line terminal (OLT), and others. ONT segment was valued at over USD 3 billion in 2022. The advent of 5G networks to meet the increased need for rapid communication services, along with the development of higher-performing cellular networks, is driving the demand for ONTs. Moreover, businesses are deploying ONT technological solutions in response to the rising network requirements, which is speculated to prove lucrative for the segment outlook.

With respect to technology, industry is divided into XG-PON, 2.5 GPON, NG-PON2, and XGS-PON. GPON market share from the XGS-PON technology segment is foreseen to progress at over 15% CAGR through the forecast period. Operators are aided by the new XGS-PON standard (ITU G.9807.1, 2016) to overcome the difficulties associated with cost and performance. The technology removes wavelength tunability and mobility from TWDM-PON to establish a universal channel.

U.S. GPON  Market Share, By Application

In terms of application, GPON market is segregated into other FTTX, fiber-to-the-home (FTTH), and mobile backhaul. Mobile backhaul segment is expected to grow at over 15% CAGR from 2023 to 2032, the report claims. The recent development of next-generation networks such as LTE-A and 5G has encouraged telecom operators to deploy backhaul equipment to deliver low latency and high bandwidth communications.

Authors: Preeti Wadhwani

Frequently Asked Questions (FAQ) :

Global Market size for GPON was valued at over USD 15 billion in 2022 and is set to progress at more than 10% CAGR from 2023 to 2032 owing to favorable broadband access initiatives by government organizations as well as increased internet usage in developing countries.

Mobile backhaul segment is anticipated to grow at over 15% CAGR between 2023 and 2032 due to the recent development of next-generation networks such as LTE-A and 5G.

XGS-PON technology segment is projected to progress at over 15% CAGR from 2023-2032 as a result of positive inclination operators towards the new XGS-PON standard (ITU G.9807.1, 2016) to overcome difficulties associated with cost and performance.

Europe GPON industry is slated to garner over 15% industry share by the end of 2032 on account of the mounting use of next-generation, high-speed broadband in the region to support mobile hauling applications.

GPON Market Scope

Buy Now

Immediate Delivery Available

Premium Report Details

  • Base Year: 2022
  • Companies covered: 19
  • Tables & Figures: 761
  • Countries covered: 27
  • Pages: 463
 Download Free Sample