Fiber Optic Circulators MarketSize and Trends

Factors Driving Growth of the Fiber Optic Circulators Market

Increasing demand from the telecommunication sector is expected to drive the market growth over the forecast period. Fiber optic circulators are highly used in the telecom industry, as optical fiber circulators are the medium for the transmission of a signal from one point to another. This is attributed to the increasing use of mobile devices and high bandwidth connectivity. The number of connected devices is increasing, which is expected to drive the market growth over the forecast period. Moreover, growing internet penetration that has increased data traffic and rising adoption of internet of things (IoT) are also expected to drive the fiber optic circulators market growth over the forecast period. For instance, according to International Energy Agency (IEA), the number of internet users is expected to increase from 3,600 million in 2018 to 5,000 million by 2025. Moreover, the number of internet of things (IoT) connections is expected to increase from 7,500 million in 2018 to over 25,000 million by 2025.

The rapid increase in the deployment of data center solutions is expected to drive the market growth over the forecast period. This is owing to the rising deployment of data centers by major IT companies to manage large amounts of data and integration of cloud services. As most countries are shifting towards on-soil data requirements where customer PII (Personal Identifier Information) data should remain in the country, to meet this requirement, all the IT companies across the globe are setting data centers in every country. Companies are now focusing on developing new methods or techniques to cater to the increasing demand from IT sectors. For instance, Amazon Web Service, Inc. invested US$ 1,500 million to set up two data centers in Hyderabad due to increased demand for cloud services in India. Thus, increasing demand from cloud-based solutions within enterprises increases demand for fiber optic circulators, thereby driving the market growth over the forecast period.

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