The global structured cabling market size was valued at USD 7.7 billion in 2016 and is estimated to expand at a CAGR of 7.6% over the forecast period. Structured cabling systems comprise a set of cables and hardware that make up the telecommunication infrastructure of management systems in enterprises. Telecommunication infrastructure helps transfer voice, video, and data signals from one point to another through a communication network. Different types of connecting devices and cables are required for a smooth network connection.
Rise in number of internet users and rapid adoption of digital services has led to an exponential increase in the volume of sensitive data collected by organizations.A structured cabling system facilitates data transfer at a faster speed, which has triggered market growth. Increased emphasis on cost and time management, growing IoT data, need for automation of businesses, and increasing competition have significantly boosted demand for structured cabling systems.
Furthermore, these systems aid in faster data transmission, which facilitates enterprises in improving the effectiveness of their decision-making process and maximizing profits. However, high cost of fiber optic cables, low compatibility with old communication infrastructure, and fluctuating copper prices threaten to restrain market growth.
The North American market for structured cabling has seen a greater adoption of structured cabling systems across all verticals. The region has been an early adopter of new innovative technologies owing to presence of large technology players. Moreover, availability of better technology infrastructure and reliable network connectivity across the region has encouraged the growth of the market.
The copper cable segment dominated the market in 2016 and the trend is estimated to continue over the forecast period. Copper cables are suitable for short and medium distance transmission purposes. Due to technological advancements, copper cables are expected to gain preference among data centers and desktop connections and are anticipated to provide lucrative opportunities for the copper cable segment.
The fiber optic cables segment is estimated to register the highest CAGR over the forecast period. These cables are used in various verticals, including telecommunication, residential and commercial, government, utilities, aerospace, and private data networks. Increasing demand for high-speed Internet services is expected to be the key growth factor for the fiber optic cables segment. Growing use of new telecommunication technologies such as 5G mobile and FTTX (Fiber-to-the-X) applications is also expected to drive the growth of this segment.
The data center segment is expected to exhibit a high CAGR over the forecast period owing to increasing use of IoT devices, mobile data, and smart applications. A significant amount of data is generated through digital devices, which necessitates more storage, thus driving demand for data centers. This, in turn, increases demand for high data transmission speeds. Consequently, demand for structured cabling systems is anticipated to grow over the forecast period.
The LAN segment dominated the structured cabling market in 2016 and the trend is estimated to continue over the forecast period. Due to increasing need for high-speed networks, the networking system is fragmented into smaller parts, with shorter cable lengths to facilitate high data speed. LAN enables a high data transmission speed, as the data is fragmented into smaller chunks.
The IT and telecommunications segment dominated the market in 2016, a trend that is expected to continue over the forecast period. Technological innovations in the telecommunications sector, such as 5G network, require high bandwidth and low latency, which are provided by structured cabling systems. This drives the market over the forecast period.
The industrial segment is expected to grow significantly over the coming years owing to rising development and use of automation techniques across industries. The segment comprises small and large enterprises that use structured cabling systems for connecting machinery and other automation purposes. Additionally, increasing need for high-speed machine-to-machine communication and reliability are some of the factors expected to drive the market.
The North American region dominated the market in 2016 and is expected to continue its lead through 2025. The region has many leading players such as ABB; Belden Inc.; Corning Incorporated; Furukawa Electric Co., Ltd.; Legrand SA; Nexans; and Schneider Electric. High growth in the region can be attributed to high concentration of manufacturing and telecommunications industries that majorly adopt structured cabling systems. Additionally, technological proliferation, increased adoption of fiber optic cables, high penetration of digital services, and early adoption of advanced technologies in various verticals such as government, residential and commercial, and transportation and logistics has triggered market growth.
Asia Pacific is expected to emerge as the fastest-growing regional market with a CAGR of 8.6% over the forecast period. Key factors such as government initiatives to promote digitization, advanced infrastructure, rising population, accelerated adoption of smart devices, and investments in cloud and IoT technologies are expected to contribute to the growth of the regional market. Developing economies such as China and Japan are leading the APAC region. Increasing use of the Internet in these countries is resulting in rising number of broadcast activities. This, in turn, is expected to drive the growth of the regional market over the forecast period.
The market is highly competitive owing to presence of various prominent players such as ABB; Belden Inc.; CommScope Holding Company, Inc.; Corning Incorporated; Furukawa Electric Co., Ltd.; Legrand SA; Nexans; Schneider Electric; and Siemon.
Players have adopted strategies such as expansions, agreements, collaborations, and joint ventures, and are engaging in the development of new products with high speed and improved features to enhance product portfolio and hold a strong position in the market. Companies have also obtained approvals from different governments for launch of products that can provide high speed and security.
For instance, in December 2014, Schneider Electric acquired Günsan Elektrik, a key Turkish player in the wiring device accessories market. In December 2015, The Siemon Company expanded its copper cable portfolio by adding category 6A F/UTP shielded Outside Plant Cable (OSP), which was designed to enhance the performance of advanced applications.
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Attribute |
Details |
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Base year for estimation |
2016 |
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Actual estimates/Historical data |
2014 - 2015 |
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Forecast period |
2017 - 2025 |
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Market representation |
Volume in Million bbl, Revenue in USD Million, & CAGR from 2017 to 2025 |
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Regional scope |
North America, Europe, Asia Pacific, and Rest of the World |
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Country scope |
U.S., Canada, Germany, U.K., China, and Japan |
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Report coverage |
Revenue forecast, competitive landscape, growth factors, and trends |
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15% free customization scope (equivalent to 5 analysts working days) |
If you need specific information that is not currently within the scope of the report, we will provide it to you as a part of the customization |
This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2016 to 2025. For this study, Grand View Research has segmented the global structured cabling market report based on product type, application, vertical, and region:
Product Type Outlook (Revenue, USD Million, 2014 - 2025)
Copper Cables
Fiber Optic Cables
Application Outlook (Revenue, USD Million, 2014 - 2025)
LAN
Data Center
Vertical Outlook (Revenue, USD Million, 2014 - 2025)
Government
Industrial
IT & Telecommunications
Residential & Commercial
Others
Regional Outlook (Revenue, USD Million, 2014 - 2025)
North America
The U.S.
Canada
Europe
Germany
U.K.
Asia Pacific
China
Japan
Rest of the World
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