Dark fiber market is anticipated to grow at a CAGR of 11.5% during the forecast period. The growing demand for internet connectivity across the globe is a key factor driving the growth of the market. The benefits of data fiber such as reduced network latency, scalability, reliability, and enhanced security have driven market growth. With the increasing demand for mobile data and the launch of 5G services, telecom service providers are now buying up the available dark fiber and also focusing on building their own. This, in turn, drives the market growth. 

The high cost of dark fiber may restrain its market growth. The dark fiber prices in the metro area are considerably higher than in the long-haul area on a per-mile basis. More urban areas’ routes have considerably higher pricing in the metro area than the suburban and exurban areas’ routes. This is due to the rising demand for a fiber network in urban areas. 

Impact of COVID-19 Pandemic on Global Dark Fiber Market

The COVID-19 pandemic has made a positive impact on the growth of the global dark fiber market. The increased demand for internet connectivity during a pandemic by corporates, enterprises, and businesses due to penetration of the work-from-home culture is a key contributor to the positive market growth during the pandemic. Internet exchange points (IXPs) have experienced as much as 60.0% more Internet traffic than before the outbreak. In this unprecedented situation, the resilience and capability of broadband networks have become even more critical. 

Fixed and mobile operators are witnessing a surge in Internet traffic. In Korea, operators have reported traffic increases of 13.0%, reaching 45.0% to 60.0% of their deployed capacity. In Japan, NTT Communications reports an increase in data usage of 30% to 40%. In the UK, BT reports a 35% to 60% increase in daytime weekday fixed broadband usage. Telefónica reports nearly 40% more bandwidth in Spain, with mobile traffic growth of 50% and 25% in voice and data, respectively. 

Segmental Outlook 

The global dark fiber market is segmented by fiber type, network type, and application. The market segmentation based on the fiber type includes single mode and multi-mode. Based on network type, the market is segmented into metro and long haul. Based on application, the market is segmented into telecom, oil & gas, BFSI, medical, and railway.

Telecom Segment Holds Considerable Share in the Global Dark Fiber Market

Based on application, the market is segmented into telecom, oil & gas, BFSI, medical, and railway. Telecom held a major market share in the dark fiber market. The rising adoption of the 5G technology in communication and data transmission services is a key contributor to the high market share. Dark fiber enables high-speed data transfer services in both small and long-range communications. 

Regional Outlook

The global dark fiber market is further segmented based on geography including North America (the US and Canada), Europe (UK, Italy, Spain, Germany, France, and Others), Asia-Pacific (India, China, Japan, South Korea, and Others), and the Rest of the World (the Middle East &Africa and Latin America). The market can be analyzed for a particular region or country level as per the requirement. North America held a considerable share in the global dark fiber market. Heavy investment in security infrastructure by the US government and enhanced telecommunication sector infrastructure with better security measures are the key factors driving the growth of the regional market. 

Global Dark Fiber Market Growth, by Region 2022-2028

Asia-Pacific to Exhibit Significant Growth in the Global Dark Fiber Market 

Asia-Pacific is anticipated to exhibit significant in the market during the forecast period. Continuously increasing penetration of internet services, over the period, has paved the way for the high demand for internet bandwidth in the emerging economies of the region is a key factor to drive the regional market growth. India’s internet user base crossed the 830 million mark in 2021, growing by over 530 million in the six years since 2015, according to the Economic Survey of India 2021-22. The total volume of wireless internet data usage in India has surged over 7x to 32,397 petabytes in 2021 from around 4,200 petabytes in 2018. The survey also claimed that India’s average internet data usage has increased from 1.24 GB per month in 2018 to 14.1 GB in June 2021. “With a huge surge in data consumption due to online education, work from home, interpersonal connect through social media, and virtual meetings the reform measures will further boost the proliferation and penetration of broadband and telecom connectivity.

Market Players Outlook

The major companies serving the global dark fiber market include AT&T Inc., Colt Technology Services Group Ltd., and Comcast Corp., among others. The companies are focusing on technology advancements, geographical expansions, mergers and acquisitions, and finding a new market or innovation in their core competency to expand individual market share. For instance, in July 2022, Network provider Lumen launched its Edge platform in Europe. The company had an Edge network available in the US, offering low latency connectivity to support data-intensive applications at the cloud edge. Now it is offering the same service in Europe, with low latency claims for the UK, France, Germany, Belgium, and the Netherlands. Such market developments are anticipated to drive the global dark fiber market.  

The Report Covers

• Market value data analysis of 2021 and forecast to 2028.
• Annualized market revenues ($ million) for each market segment.
• Country-wise analysis of major geographical regions.
• Key companies operating in the global dark fiber market. Based on the availability of data, information related to new product launches, and relevant news is also available in the report.
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
• Analysis of market-entry and market expansion strategies.
• Competitive strategies by identifying ‘who-stands-where’ in the market.