Passive Optical LAN (POL) Market Size to Hit USD 295 Billion by 2031, Registering at a 23.6% CAGR | Exclusive Report by Transparency Market Research

The necessity for energy-efficient network solutions and the growing demand for high-speed Internet in developing nations are driving the growth of the passive optical LAN (POL) market.


Wilmington, Delaware, United States, Oct. 18, 2023 (GLOBE NEWSWIRE) -- Transparency Market Research Inc. - The global passive optical LAN (POL) market was estimated to have acquired US$ 29 billion in 2020. It is anticipated to register a 23.6% CAGR from 2021 to 2031 and by 2031, the market is likely to gain US$ 295 billion.

POL is an energy- and cost-efficient technology with a unique single-mode fiber topology. Since single-mode fiber can accommodate numerous devices, POL requires less cable. The global market is driven by the growing use of passive optical networks, which provide corporate LAN (POL) environments with increased security, dependability, cost-effectiveness, and space savings over fiber. The rising use of cloud-based and live-streaming services propels demand for high-speed Internet even more.

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Global Passive Optical LAN (POL) Market: Key Players

Major players within the passive optical LAN (POL) market are expected to engage in fierce competition as a result of the adoption of new technologies as well as alliances and collaborations. The following companies are well-known participants in the global passive optical LAN (POL) market:

  • Nokia
  • AFL
  • Alcatel Lucent SA (France)
  • Ericsson Inc. (Sweden)
  • Huawei Technologies Co. Ltd. (China)
  • ADTRAN, Inc. (U.S.)
  • TE Connectivity Ltd. (Switzerland)
  • ZTE Corporation (China)
  • Verizon Communications Inc. (U.S.)

Key Findings of Market Report

  • The conventional copper-based Ethernet local network is less environmentally friendly than POL.
  • In addition to being passive and requiring no power, the network produces very little heat.
  • The high performance and environmentally friendly features that modern businesses want are both provided by optical LAN technology.
  • By using less plastic and PVC in their cabling, passive optical local area networks (LANs) have a positive impact on green sustainability initiatives.
  • Passive optical distribution networks can eliminate electronics and maintenance up to a distance of 12 miles, whereas conventional active copper-based LANs were restricted to 300 feet.

Market Trends for Passive Optical LAN (POL)

  • Fiber to the home (FTTH) networks have seen substantial investment and implementation worldwide due to consumer market applications like HDTV, video on demand, 3-D TV, IPTV, gaming, etc.
  • Numerous telecommunications businesses are currently providing a wide range of services, including wireless, data, video, and phone, for different purposes. The increased bandwidth requirements of emerging technologies mean that traditional copper-based networks are no longer able to support this technological change.
  • With this single-mode fiber, bandwidth is theoretically unlimited. With splitters, the bandwidth limit over the distance is practically infinite when utilizing POL.
  • Using POL can result in significant space savings as well as lower costs for closet construction and climate control because it eliminates the requirement for a telecommunications room and the area needed for the network infrastructure.

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Market for Passive Optical LAN (POL): Regional Outlook

Various reasons are propelling the growth of the passive optical LAN (POL) market in different regions. These are:

  • The passive optical LAN (POL) market is anticipated to be dominated by the Asia Pacific region due to the growing demand for POLs in developing nations like India and China. One of the main factors expected to propel the regional passive optical LAN (POL) market during the forecast period is the rise in bandwidth demand. Systems using passive optical LANs (POLs) are more dependable, long-lasting, and energy-efficient.
  • Technological advancement, the growth of systems administration in the Asia Pacific region, the expansion of fiber optic networks, the growing popularity of novel headways, and the exploration framework are some of the factors driving the growth of the market in this region.
  • The passive optical LAN (POL) is primarily used in the consumer electronics and automobile industries. The speed, efficiency, sustainability, affordability, and scalability of these solutions draw interest from worldwide.

Key developments in the global market are:

CompanyYearKey Developments
Huawei Technologies Co. Ltd. (China)2022
  • Huawei is dedicated to supporting a low-carbon circular economy through green and low-carbon goal networks, adopting the dual-E (Energy and Experience) approach.
  • Huawei started a project to rebuild China Mobile Shandong's locations and equipment rooms in the second half of 2022.
Ericsson Inc. (Sweden)2023
  • Ericsson plans to construct a cutting-edge technology and smart manufacturing hub in Europe.
  • A new hub for next-generation smart manufacturing as well as technology in Europe will facilitate the cooperative development of new production methods and cellular ecosystems.
  • Combining all of Ericsson's Tallinn, Estonia, activities into one will lessen its negative effects on the environment and help the company achieve Net Zero by reducing carbon emissions through sustainable operations.
  • It is anticipated that the 50,000-square-meter European hub will open for business in early 2026.

Global Passive Optical LAN (POL) Market Segmentation

  • Component
    • Optical Cables
    • Optical Line Terminal
    • Optical Line Terminal (OLT)
    • Optical Splitter

  • Type

    • GPON
    • EPON

  • Application

    • Loop Feeder
    • Interoffice
    • Fiber in The Loop (FITL)
    • Synchronous Optical Network (SONET)
    • Hybrid Fiber-Coaxial Cable (HFC)
    • Synchronous Digital Hierarchy (SDH) Systems

  • Region        

    • North America
    • Europe
    • Asia Pacific
    • Middle East & Africa
    • South America

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