Free Space Optics Communication

Free Space Optics Communication Market - Global Industry Insights,
Trends, Outlook, and Opportunity Analysis, 2018-2026
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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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.
Proliferation of internet usage is one of the major factors driving growth of the
global market
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.
Moreover, development of advanced wireless technologies, which includes Z-Wave
and ZigBee, has further increased the internet traffic as they are responsible for
providing easy connectivity to a wide range of devices, in order to offer faster data
transfer and better bandwidth with lesser chances of data loss. These are few major
factors driving the global market growth.
Global Free Space Optics Communication Market: Restraint
Major factor expected to hinder global market growth is degradation of signals, due to
environmental interference. Free space optics communication can be interrupted due
to fog and atmospheric turbulence. Occurrence of fog can hamper the characteristics
of the light wave being transmitted by absorption, scattering, and reflection of the light
wave. Atmospheric turbulence can cause sparkling, which can further increase the
bit-error rate. These are some factors restraining growth of these free space optics
communication market.
Global Free Space Optics Communication Market: Competitive Background
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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