Growth in data centres will drive the market for optical networking (ON) equipment to reach US$20 billion per year by 2017, according to Ovum. The analyst company says that global demand for data centres and data centre connectivity will drive the ON market with compound annual growth rate of 5%.

The fastest growing region will be Latin America, according to Ovum, as growing operator incomes facilitate inter- and intra-continental network upgrades. The EMEA region will expand despite economic conditions, particularly as Russian network operators look to supply pan-Asian capacity interconnecting the Far East to Europe overland. US markets will be driven by the switch to 100G technology, while Asia-Pacific will see some slowdown, although markets such as China will be driven by the need to upgrade high-speed fixed broadband and next-generation mobile networks

Source: ITP