Optical Transceiver Market

Market Leadership - Optical Transceiver Market

The global optical transceiver market size is projected to grow from USD 5.7 billion in 2020 to USD 9.2 billion by 2025, at a CAGR of 10.0%. Increasing adoption of smart devices & rising data traffic, growing demand for cloud computing applications, and rising demand for compact and energy-efficient transceivers are the factors driving the growth of the optical transceiver industry.

I-VI Incorporated (US), FIT Hong Teng Limited (Taiwan), Lumentum (US), Sumitomo Electric Industries Ltd (Japan), Accelink (China), Applied Optoelectronics (US), Fujitsu Optical Components (Japan), Innolight (China), Mellanox (Israel), NeoPhotonics (US), Ciena (US), Cisco (US), Hisense Broadband (China), Intel (US), NEC (Japan), are the major players in the global optical transceiver market.

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The optical transceiver market is competitive, owing to the presence of several global players. Key strategies adopted by these players to enhance their product portfolios, increase their market share, and expand their presence in the market are acquisitions and product launches. For instance, in September 2019, II-VI acquired Finisar (US) to strengthen its presence in the optical communication business.

II-VI is one of the leading players in the optical transceiver market. II-VI develops, manufactures, and markets engineered materials and optoelectronic components and devices for precision in the field of industrial materials processing, optical communications, aerospace and defense, consumer electronics, semiconductor capital equipment, life sciences, and automotive applications and markets. II-VI Photonics manufactures crystal materials, optics, microchip lasers, and optoelectronic modules for use in optical communications networks and other diverse consumer, life sciences, and commercial applications. II-VI has a vast dominance across 69 global locations and 18 countries such as the US, Singapore, China, Germany, Switzerland, Japan, Belgium, and the UK. Furthermore, to gain a competitive edge, the company focuses on inorganic growth strategies such as acquisitions and partnerships to expand its portfolio across newer segments. In September 2019, the company announced the acquisition of Finisar Corporation, one of the market leaders in optical communications, initiated in November 2018. Finisar is one of the companies for innovative and advanced optical transceivers, such as having 400G transceivers, which would benefit the company to expand its presence in the market. Furthermore, the advent of AI and 5G technologies would boost the optical transceiver market and help the company maximize its revenue by targeting these latent opportunities

FIT is another leading player in the optical transceiver market. FIT Hong Teng Limited engages in the development and production of interconnect solutions and related products. In line with the same, the company manufactures and sells connectors, case, thermal module, wired/wireless communication products, optical products, power supply modules, and assemblies. It operates in a single business segment across China, Taiwan, Hong Kong, the US, Singapore, and Others. FIT is focusing on expanding high-speed optical transceiver business. As a result, it launched 400G optical modules in the industry in 2019. It is focusing on the expansion of its markets, such as in 5G, communication, automotive electronics, smart accessories, and smart home markets. With the advent of the 5G era, telecom infrastructure development will take place, accommodating the penetration of 5G. This, in turn,  would increase data traffic in data centers, which would drive the demand for upgrading data center specifications that will bring the next growth opportunity for the company for the optical transceiver market.

Related Reports:

Optical Transceiver Market by Form Factor (SFF, SFP, SFP+, QSFP, QSFP+, QSFP28), Data Rate, Distance, Fiber Type (Single-Mode, Multimode), Connector, Wavelength, Application (Telecom, Data Center, and Enterprise), and Region - Global Forecast to 2025

Mr. Sanjay Gupta
MarketsandMarkets™ INC.
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Suite 430
Northbrook, IL 60062
USA : 1-888-600-6441
[email protected]

Report Code
SE 4626
RI Published ON
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