Free Space Optics Communication Industry key vendors, types, applications, forecast 2018-2026

 Market overview

Free space optics is an optical communication technology, which is responsible for transmitting light beams in free space for broadband communications. This optical communication technology offers various advantages including, high-speed data transmission rate, installation, and protected data transfer. The technology is utilized in deep-space probes, satellite links, for aircraft communication as well as for communication in UAVs and remote areas.

Major factors driving growth of the global free space optics market is, increasing internet traffic. Factors such as utilization of high-bandwidth applications, expanding online video content, and rising number of mobile internet users will lead to rise in the global IP traffic during the forecast period. Adoption of smartphones is increasing, which is leading to increasing mobile advertising, including SMS & MMS advertising, mobile web, mobile video & television, and several online advertising channels; and increasing demand for on-demand services such as videos, online messaging applications, video chat, and voice calls, at anytime and anywhere. These are powerful tools for effective real-time communication. Hence, increasing demand for real-time communication will proportionately increase demand for free space optics communication. For instance, according to Coherent Market Insights’ analysis, as of 2017, over 53% of internet traffic was generated by mobile, traffic which is increased from 41% in 2016.

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Market Dynamics

The global free space optics communication market is segmented on the basis of regions into North America, Europe, Asia Pacific, Latin America, Middle East, and Africa. The market in Asia Pacific is expected to exhibit the highest CAGR during the forecast period. This growth is attributed to increasing number of internet users in this region along with growing 5G pilot projects in the region. According to Coherent Market Insights’ analysis, in 2017, Asia Pacific accounted for over 50% of internet users in the world, of which China accounted for the largest share in the regional market, accounting for around 26% share of global internet users. This in turn, is expected to boost adoption of better wireless infrastructure. For instance, China Telecom Corporation Ltd. established a new 5G base station in Lanzhou, in December 2017, to expand 5G pilot projects in China. Moreover, government initiative plays a major role for growth of the 5G infrastructure in Asia Pacific region. For instance, China government is expected initiate commercial rollouts by 2020. With 3,400–3,600 MHz band, the country’s first trials will be conducted in 2020. The 3,300–3,400 MHz, 4,400–4500 MHz, and 4,800–4,990 MHz bands are also under consideration. For high internet speeds, China government has plans on using spectrum around 25 gigahertz and 40 gigahertz frequencies. This in turn, is expected to boost growth of regional market over the forecast period.

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Major players operating in the free space optics communication market are Koninklijke Philips N.V., General Electric Co., Bytelight, Inc., Panasonic Corp., Purelifi Ltd., LVX System, Oledcomm, Lightbee Corp., Outstanding Technology Corp., Ibsentelecom Ltd., and Supreme Architecture Inc.

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Coherent Market Insights is a prominent market research and consulting firm offering action-ready syndicated research reports, custom market analysis, consulting services, and competitive analysis through various recommendations related to emerging market trends, technologies, and potential absolute dollar opportunity.

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