Page 36 - Market Analysis Report of Optical Communications Field in China & Global market 2015

Chapter 10

Market Analysis Report of the Optical Communications
Field in China & Global Market in 2015

Even though the world economic recovery is slower than expected, global telecommunications and data
communications markets have gradually recovered in the whole year of 2014. With the rapid development of
Internet and mobile Internet service, Chinese optical fiber and cable industry also enjoy faster development. The
national optical fiber and cable demand keeps going up. According to MIIT (Ministry of Industry and Information
Technology), China has newly built 3.007million kilometers optical cable line. The total line length reaches
20.46million kilometers, with year-on-year growth of 17.2%. Having experienced years of rapid growth, China
has become the world factory of optical fiber and cable. It is the world manufacturing giant and major exporter of
optical and fiber products.

In 2015, the national optical fiber and cable market demand continues to rise. It is estimated that the size of Chinese
optical fiber and cable market will be up to 143million fiber core per kilometer. From the deep implementation of “
BD China” to the introduction of “ Internet +”, premier Li Keqiang repeatedly urges to “ raise speed and reduce cost”,
which will bring a new round of development opportunity to Chinese optical fiber and cable businesses.

I. Analysis on Optical Communication The leap-frogging of Indian Sub-continent’s Thanks to deployment of large-scale optical fiber
Market demand is due to reason that the Indian network program in Indonesia, Malaysia and
1.Scale and Features of Optical Fiber and government launched a national optical fiber Thailand, the increase rate in demand for optical
Cable Market and internet development plan requiring that fiber is very obvious. Regional development
by 2019 250,000 administrative village have has attracted many multinationals to invest
Global Market optical fiber connection. Plus, the increase communication infrastructure construction, which
According to development report on global of national-defense network and high-speed in return contributes to the increase in demand for
optical fiber and cable industry in 2014 released broadband network demand has greatly given optical fiber in Africa and Latin America.
by telecom information institute, all the momentum to the fast growth of India and its
countries across the world have a larger demand neighboring countries’ demand for optical fiber. Although Chinese market has a smaller increase in
for optical cable, among which India and south demand for optical fiber than most of the regions
Asian areas (or Indian sub-continent) showed Some other countries and regions also demonstrate in the world, Chinese fibril and optical cable
the highest growth rate of demand for optical rise of demand for optical fiber. West Europe has export volume accelerated a lot. The year 2014 has
cable with the number is 60%, while China has increased by 20%, followed by North America, witnessed Chinese fibril shipments register 23%,
increased by 8%. with an increase of 19%. Southeast Asia enjoyed while other regions just enjoyed 2% of average
an increase of 16%, east Europe 13%, Africa 12%, increase rate, which means Chinese optical fiber
Latin America 12%, China 8%, Turkey and central makers have brought their global market share to
Asia 8% and Middle East 5%. 55%, higher than the 50% in 2013 and 49% in 2012.

To put it in a specific way, three countries in North Domestic market
America have enjoyed double-digit growth on Last year has seen many ups and downs of
demand for optical fiber, which benefited from communication market but it also brought hopes
the increase of demand for optical fiber in such for those business leaders in this industry. Looking
fields as long-distance communication. Cable-TV, back the optical fiber and cable market in 2014,
telecom service growth, municipal infrastructure while we were capturing sound development
and special industries. North Europe’s growth trend of the entire market, we also saw various
slowly dropped, but west Europe and east Europe bittersweet faces.
expected a two-digit growth rate, especially some
west Europe countries like France and Italy. The increasing demand for optical fiber and cable

36