Structured Cabling Market Size, Share & Trends Analysis Report By Product Type (Copper Cables, Fiber Optic Cables), By Application (LAN, Data Center), By Vertical, By Region, And Segment Forecasts, 2022 - 2030

Report Overview

The global structured cabling market size was valued at USD 9.7 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 10.5% from 2022 to 2030. 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.

The rise in the 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, the 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, the high cost of fiber optic cables, low compatibility with old communication infrastructure, and fluctuating copper prices threaten to restrain the market growth.

The North American market for structured cabling has seen greater adoption of structured cabling systems across all verticals. The region has been an early adopter of new innovative technologies owing to the presence of large technology players. Moreover, the availability of better technology infrastructure and reliable network connectivity across the region has encouraged the growth of the market.

Product Type Insights

The copper cables segment dominated the market in 2021 with a share of over 45.0%. 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 copper wire and cable industry is primarily driven by factors such as rising electricity demand and strong investments in building development. Furthermore, the growth of smart grids and an increase in investments in smart power transmission and distribution system upgrades are driving the demand for copper cables.

The fiber optic cables segment is estimated to register the highest CAGR over the forecast period. Fiber optics serve as the internet's backbone, with optical fiber cables serving as the medium for transporting data from one location to another. 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. The growing use of new telecommunication technologies such as 5G mobile and FTTX (Fiber-to-the-X) applications is also expected to drive the segment.

Application Insights

The LAN segment dominated the market in 2021 with a revenue share of over 80.0%. The trend is estimated to continue over the forecast period. Due to the 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. Due to the performance of several market sectors, the LAN cable market is expected to increase significantly. The CATEGORY 6 CABLE sector will be the fastest-growing segment among others, contributing more to the growth of the LAN cable market.

The data center segment is expected to exhibit a lucrative CAGR of 11.0% from 2022 to 2030. The growth of structured cabling in data centers is owing to the 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 the demand for data centers. This, in turn, increases the demand for high data transmission speeds. Datacenter market competitors are increasing their foothold in previously untapped locations. Consequently, the demand for structured cabling systems is anticipated to grow over the forecast period.

Vertical Insights

The IT and telecommunication segment dominated the market in 2021 with a share of over 30.0%. Technological innovations in the telecommunication sector, such as the 5G network, require high bandwidth and low latency, which are provided by structured cabling systems. This is expected to drive the market over the forecast period.

The industrial segment is expected to grow significantly over the coming years owing to the 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, the increasing need for high-speed machine-to-machine communication and reliability are some of the factors expected to drive the market.

Regional Insights

The North American region accounted for the leading revenue share of over 30.0% in 2021 and is expected to maintain its lead over the forecast period. 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 the high concentration of manufacturing and telecommunication 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 have triggered market growth.

Asia Pacific is expected to emerge as the fastest-growing regional market with a CAGR of 12.5% 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 a rising number of broadcast activities. This, in turn, is expected to drive the regional market over the forecast period.

Key Companies & Market Share Insights

The market is highly competitive owing to the presence of various prominent players. 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 their product portfolio and hold a strong position in the market. For instance, in February 2021, Legrand announced the acquisition of the Champion ONE (C1) family of brands, a leading provider of optical networking components and solutions for the data center, enterprise, and telecommunication markets.

In another instance, in September 2021, Nexans SA announced that it has entered into an agreement for the acquisition of Centelsa, a premium cable maker in Latin America active in the production of cables for building and utility applications. Companies have also obtained approvals from different governments for the launch of products that can provide high speed and security. Some prominent players in the global structured cabling market include:

• ABB Ltd.

• Belden Inc.

• CommScope Holding Company, Inc.

• Corning Incorporated

• Furukawa Electric Co., Ltd.

• Legrand SA

• Nexans

• Schneider Electric

• Siemens AG

Structured Cabling Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2017 to 2030. For the purpose of 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, 2017 - 2030)

  • Copper Cables

  • Fiber Optic Cables

  • Others

• Application Outlook (Revenue, USD Million, 2017 - 2030)

  • LAN

  • Data Center

• Vertical Outlook (Revenue, USD Million, 2017 - 2030)

  • Government

  • Industrial

  • IT & Telecommunication

  • Residential & Commercial

  • Others

• Regional Outlook (Revenue, USD Million, 2017 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • Germany

    • U.K.

  • Asia Pacific

    • China

    • Japan

  • Latin America

    • Mexico

    • Brazil

  • Middle East and Africa