Free Space Optics Market

Global Free Space Optics Market by Components (Transmitter, Receiver, and Modulator and Demodulator), By Applications (Mobile Backhaul, Enterprise Connectivity, Disaster Recovery, Dense Wavelength Division Multiplexing (DWDM) Services, Satellite, Security, Engineering and Design, and Others), By End-users (Aerospace & Defense, Healthcare Sector, Telecommunications, and Others), and Regions (North America, Europe, Asia Pacific, Latin America, and Middle East & Africa)

  • Report ID: ICT-SE-2446
  • Author: Growth Market Reports
  • Rating: 4.8
  • Total Reviews: 2
  • No. Of Pages: 184
  • Format:
  • Pub. Date: 10-08-2021
  • Share:

Market Outlook:

The global free space optics market was valued at USD 409.7 Mn in 2020 and is projected to reach USD 5,037.5 Mn by 2028, expanding at a CAGR of 37.1% during the forecast period. The free space optics market is projected to expand at a substantial pace, due to ease of deployment, high security, and high bit rates with less or no errors. Increasing requirement for high-speed connectivity services raises the acceptance rate of free space optics technology among internet service providers, which is projected to drive the market.

Free Space Optics Market key takeaways

Market Dynamics

Free Space Optics (FSO) gained attention in the telecommunication industry, due to its easy installation, cost-effectiveness, quick establishment of communication links in the high bandwidth provisioning, disaster management scenario, and other applications. FSO systems are used in last-mile applications to connect end-users to a broadband network backbone. Technical problems concerning last mile connectivity are resolved, owing to the advantages of FSO such as bandwidth scalability, optical foundation, re-deployment & portability, speed of deployment, and cost-effectiveness. FSO systems are useful in localities in mountainous regions where laying of fiber is difficult or in busy metro cities where roadways can’t be excavated. In such a situation, the FSO system proves to be exceptionally helpful and cost-effective. This, in turn, is expected to drive the demand for FSO systems for last mile connectivity application.

Free-space optical technologies are anticipated to occupy a central position in the development of next-generation telecommunications and networking systems. FSO uses numerous modulation techniques such as phase and amplitude modulation for altering the input into a digital signal for further transmission. Modern trends in free space optics market are ruled by the development and introduction of progressive coding schemes intended at improving the communication practice and quality of data transmitted. Market players are focusing on the development of outdoor wireless products that transmit voice, data, and video at high bandwidths based on FSO technology. Hence, technological advancement in the market is anticipated to fuel the market during the forecast period.

FSO is a wireless communication technology that employs invisible beams of light to deliver high-speed wireless connections to receive & send video, voice, and information. Need for fast and efficient data transfer boosted the demand for new technologies such as FSO over fiber optic cabling solutions. FSO is devoid of many limitations possessed by fiber optic cabling solutions. FSO uses the emission of optical radiation in an open medium to transfer data between two points without hindering the line of sight between them. FSO has become a practical, high-bandwidth wireless substitute to fiber optic cabling. The principal advantages of FSO as compared to fiber are less deployment time and cost-effectiveness. Hence, improved connectivity offered by FSO is anticipated to drive the market during the forecast period.

FSO is used on a large scale in the telecommunication sector, particularly in satellite platforms, as it is easy to install and is flexible. FSO provides high bandwidth for long distances and delivers with a low initial investment. FSO technology offers significant advantages such as the low probability of intercept for high security, high bandwidth or data rates, and low power requirements. FSO links are a cost-effective technique to deliver high bandwidth links over short distances. Advanced FSO links permit the transmission of information via air by modulating the wavelength of the light, which helps to attain high bandwidths. Hence, increasing demand for high bandwidth from end-user industries is anticipated to fuel the market during the forecast period.

Factors such as smoke, fog, rain, and atmospheric turbulence escalate the volatility of the network system, which is estimated to act as a restraining factor, impeding the market growth during the forecast period. For example, before deploying the setup for FSO communication between two points, the line of sight between the two points has to be free of any obstacles, such as buildings or trees. Moreover, free space propagation required for FSO face disturbances, owing to fog and atmospheric turbulence, among other environmental barriers. Presence of fog severely impedes the characteristics of the light wave, which is transferred by scattering, absorption, and reflection of the light wave. Hence, environmental issues are expected to hamper the market growth during the forecast period.

Segmental Outlook

By Components

Based on components, the global free space optics market is segmented into Transmitter, Receiver, and Modulator and Demodulator. Easier availability of transmitter suppliers along with increasing requirement for improved transmitting devices is expected to boost the segment demand.

Free Space Optics Market by compenents

By Applications

Based on applications, the free space optics market is segmented into mobile backhaul, enterprise connectivity, disaster recovery, dense wavelength division multiplexing (DWDM) services, satellite, security, engineering and design, and others. The Disaster Recovery’ segment is anticipated to grow at a rapid pace, due to rising preference of double beds by Disaster Recovery for their bedroom and thus the requirement for Free Space Optics.

Free Space Optics Market by applications

By End-users

Based on end-users, the free space optics market is segmented into aerospace & defense, healthcare sector, telecommunications, and others. The increased requirement for free space optics in telecommunications is due to the increasing investments in the telecom sector for advanced wireless communications.

Free Space Optics Market by End Users

Region Wise Outlook

Based on regions, the global free space optics market is divided into North America, Europe, Asia Pacific, Middle East & Africa, and Latin America. Asia Pacific has a considerable market share during the forecast period, owing to the growing automotive industry. Increasing pollution due to harmful gases emitted by industries and vehicles has an adverse effect on the human health. This factor is driving the market during the forecast period. Increasing disposable income of people in the country propels the demand for air purifiers. Additionally, the demand for air filter is increasing, due to preventive actions taken by the government to overcome air pollution challenges caused by manufacturing industries.

Free Space Optics Market by Regions

Key Benefits for Industry Participants & Stakeholders

  • In-Depth Analysis of the Free Space Optics Market.
  • Historical, Current and Projected Market Size in Terms of Value.
  • Potential & Niche Segments and Regions Exhibiting Promising Growth Covered
  • Industry Drivers, Restraints and Opportunities Covered in the Study
  • Recent Industry Trends and Developments
  • Competitive Landscape & Strategies of Key Players
  • Neutral Perspective on From Free Space Optics Market Performance
Chapter 1 Executive Summary
Chapter 2 Assumptions and Acronyms Used
Chapter 3 Research Methodology
Chapter 4 Free Space Optics Market Overview
   4.1 Introduction
      4.1.1 Market Taxonomy
      4.1.2 Market Definition
      4.1.3 Macro-Economic Factors Impacting the Market Growth
   4.2 Free Space Optics Market Dynamics
      4.2.1 Market Drivers
      4.2.2 Market Restraints
      4.2.3 Market Opportunity
   4.3 Free Space Optics Market - Supply Chain Analysis
      4.3.1 List of Key Suppliers
      4.3.2 List of Key Distributors
      4.3.3 List of Key Consumers
   4.4 Key Forces Shaping the Free Space Optics Market
      4.4.1 Bargaining Power of Suppliers
      4.4.2 Bargaining Power of Buyers
      4.4.3 Threat of Substitution
      4.4.4 Threat of New Entrants
      4.4.5 Competitive Rivalry
   4.5 Global Free Space Optics Market Size & Forecast, 2018-2028
      4.5.1 Free Space Optics Market Size and Y-o-Y Growth
      4.5.2 Free Space Optics Market Absolute $ Opportunity
   4.6 Impact of Key Regulations
   4.7 Technology Analysis
   4.8 FSO vs RF: Technology overview

Chapter 5 Global Free Space Optics Market Analysis and Forecast By Component
   5.1 Introduction
      5.1.1 Key Market Trends & Growth Opportunities By Component
      5.1.2 Basis Point Share (BPS) Analysis By Component
      5.1.3 Absolute $ Opportunity Assessment By Component
   5.2 Free Space Optics Market Size Forecast By Component
      5.2.1 Transmitter
      5.2.2 Receiver
      5.2.3 Modulator and Demodulator
   5.3 Market Attractiveness Analysis By Component
Chapter 6 Global Free Space Optics Market Analysis and Forecast By Applications
   6.1 Introduction
      6.1.1 Key Market Trends & Growth Opportunities By Applications
      6.1.2 Basis Point Share (BPS) Analysis By Applications
      6.1.3 Absolute $ Opportunity Assessment By Applications
   6.2 Free Space Optics Market Size Forecast By Applications
      6.2.1 Mobile Backhaul
      6.2.2 Enterprise Connectivity
      6.2.3 Disaster Recovery
      6.2.4 Dense Wavelength Division Multiplexing (DWDM) Services
      6.2.5 Satellite
      6.2.6 Defense and Security
      6.2.7 Engineering And Design
      6.2.8 Data Transmission
      6.2.9 Others
   6.3 Market Attractiveness Analysis By Applications
Chapter 7 Global Free Space Optics Market Analysis and Forecast By End-users
   7.1 Introduction
      7.1.1 Key Market Trends & Growth Opportunities By End-users
      7.1.2 Basis Point Share (BPS) Analysis By End-users
      7.1.3 Absolute $ Opportunity Assessment By End-users
   7.2 Free Space Optics Market Size Forecast By End-users
      7.2.1 Aerospace & Defense
      7.2.2 Healthcare Sector
      7.2.3 Telecommunications
      7.2.4 Others
   7.3 Market Attractiveness Analysis By End-users
Chapter 8 Global Free Space Optics Market Analysis and Forecast by Region
   8.1 Introduction
      8.1.1 Key Market Trends & Growth Opportunities by Region
      8.1.2 Basis Point Share (BPS) Analysis by Region
      8.1.3 Absolute $ Opportunity Assessment by Region
   8.2 Free Space Optics Market Size Forecast by Region
      8.2.1 North America
      8.2.2 Europe
      8.2.3 Asia Pacific
      8.2.4 Latin America
      8.2.5 Middle East & Africa (MEA)
   8.3 Market Attractiveness Analysis by Region
Chapter 9 Coronavirus Disease (COVID-19) Impact
   9.1 Introduction
   9.2 Current & Future Impact Analysis
   9.3 Economic Impact Analysis
   9.4 Government Policies
   9.5 Investment Scenario
Chapter 10 North America Free Space Optics Analysis and Forecast
   10.1 Introduction
   10.2 North America Free Space Optics Market Size Forecast by Country
      10.2.1 U.S.
      10.2.2 Canada
   10.3 Basis Point Share (BPS) Analysis by Country
   10.4 Absolute $ Opportunity Assessment by Country
   10.5 Market Attractiveness Analysis by Country
   10.6 North America Free Space Optics Market Size Forecast By Component
      10.6.1 Transmitter
      10.6.2 Receiver
      10.6.3 Modulator and Demodulator
   10.7 Basis Point Share (BPS) Analysis By Component
   10.8 Absolute $ Opportunity Assessment By Component
   10.9 Market Attractiveness Analysis By Component
   10.10 North America Free Space Optics Market Size Forecast By Applications
      10.10.1 Mobile Backhaul
      10.10.2 Enterprise Connectivity
      10.10.3 Disaster Recovery
      10.10.4 Dense Wavelength Division Multiplexing (DWDM) Services
      10.10.5 Satellite
      10.10.6 Defense and Security
      10.10.7 Engineering And Design
      10.10.8 Data Transmission
      10.10.9 Others
   10.11 Basis Point Share (BPS) Analysis By Applications
   10.12 Absolute $ Opportunity Assessment By Applications
   10.13 Market Attractiveness Analysis By Applications
   10.14 North America Free Space Optics Market Size Forecast By End-users
      10.14.1 Aerospace & Defense
      10.14.2 Healthcare Sector
      10.14.3 Telecommunications
      10.14.4 Others
   10.15 Basis Point Share (BPS) Analysis By End-users
   10.16 Absolute $ Opportunity Assessment By End-users
   10.17 Market Attractiveness Analysis By End-users

Chapter 11 Europe Free Space Optics Analysis and Forecast
   11.1 Introduction
   11.2 Europe Free Space Optics Market Size Forecast by Country
      11.2.1 Germany
      11.2.2 France
      11.2.3 Italy
      11.2.4 U.K.
      11.2.5 Spain
      11.2.6 Russia
      11.2.7 Rest of Europe
   11.3 Basis Point Share (BPS) Analysis by Country
   11.4 Absolute $ Opportunity Assessment by Country
   11.5 Market Attractiveness Analysis by Country
   11.6 Europe Free Space Optics Market Size Forecast By Component
      11.6.1 Transmitter
      11.6.2 Receiver
      11.6.3 Modulator and Demodulator
   11.7 Basis Point Share (BPS) Analysis By Component
   11.8 Absolute $ Opportunity Assessment By Component
   11.9 Market Attractiveness Analysis By Component
   11.10 Europe Free Space Optics Market Size Forecast By Applications
      11.10.1 Mobile Backhaul
      11.10.2 Enterprise Connectivity
      11.10.3 Disaster Recovery
      11.10.4 Dense Wavelength Division Multiplexing (DWDM) Services
      11.10.5 Satellite
      11.10.6 Defense and Security
      11.10.7 Engineering And Design
      11.10.8 Data Transmission
      11.10.9 Others
   11.11 Basis Point Share (BPS) Analysis By Applications
   11.12 Absolute $ Opportunity Assessment By Applications
   11.13 Market Attractiveness Analysis By Applications
   11.14 Europe Free Space Optics Market Size Forecast By End-users
      11.14.1 Aerospace & Defense
      11.14.2 Healthcare Sector
      11.14.3 Telecommunications
      11.14.4 Others
   11.15 Basis Point Share (BPS) Analysis By End-users
   11.16 Absolute $ Opportunity Assessment By End-users
   11.17 Market Attractiveness Analysis By End-users
Chapter 12 Asia Pacific Free Space Optics Analysis and Forecast
   12.1 Introduction
   12.2 Asia Pacific Free Space Optics Market Size Forecast by Country
      12.2.1 China
      12.2.2 Japan
      12.2.3 South Korea
      12.2.4 India
      12.2.5 Australia
      12.2.6 South East Asia (SEA)
      12.2.7 Rest of Asia Pacific (APAC)
   12.3 Basis Point Share (BPS) Analysis by Country
   12.4 Absolute $ Opportunity Assessment by Country
   12.5 Market Attractiveness Analysis by Country
   12.6 Asia Pacific Free Space Optics Market Size Forecast By Component
      12.6.1 Transmitter
      12.6.2 Receiver
      12.6.3 Modulator and Demodulator
   12.7 Basis Point Share (BPS) Analysis By Component
   12.8 Absolute $ Opportunity Assessment By Component
   12.9 Market Attractiveness Analysis By Component
   12.10 Asia Pacific Free Space Optics Market Size Forecast By Applications
      12.10.1 Mobile Backhaul
      12.10.2 Enterprise Connectivity
      12.10.3 Disaster Recovery
      12.10.4 Dense Wavelength Division Multiplexing (DWDM) Services
      12.10.5 Satellite
      12.10.6 Defense and Security
      12.10.7 Engineering And Design
      12.10.8 Data Transmission
      12.10.9 Others
   12.11 Basis Point Share (BPS) Analysis By Applications
   12.12 Absolute $ Opportunity Assessment By Applications
   12.13 Market Attractiveness Analysis By Applications
   12.14 Asia Pacific Free Space Optics Market Size Forecast By End-users
      12.14.1 Aerospace & Defense
      12.14.2 Healthcare Sector
      12.14.3 Telecommunications
      12.14.4 Others
   12.15 Basis Point Share (BPS) Analysis By End-users
   12.16 Absolute $ Opportunity Assessment By End-users
   12.17 Market Attractiveness Analysis By End-users
Chapter 13 Latin America Free Space Optics Analysis and Forecast
   13.1 Introduction
   13.2 Latin America Free Space Optics Market Size Forecast by Country
      13.2.1 Brazil
      13.2.2 Mexico
      13.2.3 Rest of Latin America (LATAM)
   13.3 Basis Point Share (BPS) Analysis by Country
   13.4 Absolute $ Opportunity Assessment by Country
   13.5 Market Attractiveness Analysis by Country
   13.6 Latin America Free Space Optics Market Size Forecast By Component
      13.6.1 Transmitter
      13.6.2 Receiver
      13.6.3 Modulator and Demodulator
   13.7 Basis Point Share (BPS) Analysis By Component
   13.8 Absolute $ Opportunity Assessment By Component
   13.9 Market Attractiveness Analysis By Component
   13.10 Latin America Free Space Optics Market Size Forecast By Applications
      13.10.1 Mobile Backhaul
      13.10.2 Enterprise Connectivity
      13.10.3 Disaster Recovery
      13.10.4 Dense Wavelength Division Multiplexing (DWDM) Services
      13.10.5 Satellite
      13.10.6 Defense and Security
      13.10.7 Engineering And Design
      13.10.8 Data Transmission
      13.10.9 Others
   13.11 Basis Point Share (BPS) Analysis By Applications
   13.12 Absolute $ Opportunity Assessment By Applications
   13.13 Market Attractiveness Analysis By Applications
   13.14 Latin America Free Space Optics Market Size Forecast By End-users
      13.14.1 Aerospace & Defense
      13.14.2 Healthcare Sector
      13.14.3 Telecommunications
      13.14.4 Others
   13.15 Basis Point Share (BPS) Analysis By End-users
   13.16 Absolute $ Opportunity Assessment By End-users
   13.17 Market Attractiveness Analysis By End-users
Chapter 14 Middle East & Africa (MEA) Free Space Optics Analysis and Forecast
   14.1 Introduction
   14.2 Middle East & Africa (MEA) Free Space Optics Market Size Forecast by Country
      14.2.1 Saudi Arabia
      14.2.2 South Africa
      14.2.3 UAE
      14.2.4 Rest of Middle East & Africa (MEA)
   14.3 Basis Point Share (BPS) Analysis by Country
   14.4 Absolute $ Opportunity Assessment by Country
   14.5 Market Attractiveness Analysis by Country
   14.6 Middle East & Africa (MEA) Free Space Optics Market Size Forecast By Component
      14.6.1 Transmitter
      14.6.2 Receiver
      14.6.3 Modulator and Demodulator
   14.7 Basis Point Share (BPS) Analysis By Component
   14.8 Absolute $ Opportunity Assessment By Component
   14.9 Market Attractiveness Analysis By Component
   14.10 Middle East & Africa (MEA) Free Space Optics Market Size Forecast By Applications
      14.10.1 Mobile Backhaul
      14.10.2 Enterprise Connectivity
      14.10.3 Disaster Recovery
      14.10.4 Dense Wavelength Division Multiplexing (DWDM) Services
      14.10.5 Satellite
      14.10.6 Defense and Security
      14.10.7 Engineering And Design
      14.10.8 Data Transmission
      14.10.9 Others
   14.11 Basis Point Share (BPS) Analysis By Applications
   14.12 Absolute $ Opportunity Assessment By Applications
   14.13 Market Attractiveness Analysis By Applications
   14.14 Middle East & Africa (MEA) Free Space Optics Market Size Forecast By End-users
      14.14.1 Aerospace & Defense
      14.14.2 Healthcare Sector
      14.14.3 Telecommunications
      14.14.4 Others
   14.15 Basis Point Share (BPS) Analysis By End-users
   14.16 Absolute $ Opportunity Assessment By End-users
   14.17 Market Attractiveness Analysis By End-users
Chapter 15 Competition Landscape
   15.1 Free Space Optics Market: Competitive Dashboard
   15.2 Global Free Space Optics Market: Market Share Analysis, 2020
   15.3 Company Profiles (Details – Overview, Financials, Developments, Strategy)
      15.3.1 fSONA Systems Corp.
      15.3.2 Mostcom JSC, Collinear Networks
      15.3.3 TrellisWare Technologies, Inc.
      15.3.4 CommConnect Group, Inc.
      15.3.5 Wireless Excellence Limited
      15.3.6 EC SYSTEM INTERNATIONAL a.s.
      15.3.7 Sa Photonics, Inc.
      15.3.8 PW Data Group
      15.3.9 Laseroptronics
      15.3.10 Collinear Networks

Key Segments Covered

By Components

  • Transmitter
  • Receiver
  • Modulator and Demodulator

By Applications

  • Mobile Backhaul
  • Enterprise Connectivity
  • Disaster Recovery
  • Dense Wavelength Division Multiplexing (DWDM) Services
  • Satellite
  • Security
  • Engineering and Design
  • Others

By End-users

  • Aerospace & Defense
  • Healthcare Sector
  • Telecommunications
  • Others

By Region

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

Key Market Players Profiled in the Report

  • fSONA Systems Corp.
  • Mostcom JSC, Collinear Networks
  • Collinear Networks
  • TrellisWare Technologies, Inc.
  • CommConnect Group, Inc.
  • Wireless Excellence Limited
  • EC SYSTEM INTERNATIONAL a.s.
  • Sa Photonics, Inc.
  • PW Data Group
  • Laseroptronics

Key players in the free space optics market are fSONA Systems Corp., Mostcom JSC, Collinear Networks, TrellisWare Technologies, Inc., CommConnect Group, Inc., Wireless Excellence Limited, EC SYSTEM INTERNATIONAL a.s., Sa Photonics, Inc., PW Data Group, and Laseroptronics.

The players are adopting key strategies such as product development, geographical expansion, mergers and acquisition, and many other strategies to cater the increasing demand for free space optics. For instance, in March 2021, Sa Photonics, Inc. announced that it is helping Department of Defense (DOD) in solving a bottleneck in low-cost satellite constellations, which is in development. Additionally, the company partnered with Defense Advanced Research Projects Agency (DARPA) on the Mandrake-2 experiment, which is developed to demonstrate the feasibility of LEO-based optically meshed data networks.

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FAQ Section

Some frequently asked quetions about this report!

Additional company profiles can be provided on request.

Yes, the report covers various free space optics market by end-users into aerospace & defense, healthcare sector, telecommunications, and others.

According to this Growth Market Reports, the market from free space optics market is likely to register a CAGR of 37.1% during period 2021-2028, with an anticipated valuation of USD 5,037.5 million by the end of the 2028.

In addition to market size (in USD Million) and Company Market Share (in % for base year 2020), other data such Macro-economic factors, COVID-19 Impact on the free space optics market is available in final report.

Factors such as competitive strength and market positioning are key areas considered while selecting top companies to be profiled.

Increasing requirement for high-speed connectivity services raises the acceptance rate of free space optics technology among internet service providers, which is projected to drive the market.

Increasing demand for higher bandwidth from the telecommunication industry is anticipated to supplement the growth of the telecommunication segment during the forecast period. Moreover, increasing investment in the telecommunication industry and growing focus on technological advancement for effective communication networks. The demand for FSO technology is anticipated to grow during the forecast period.

The market is expected to witness increase in terms of demand during 2019-2020 owing to the positive impact of COVID-19 pandemic on the free space optics market.

The base year considered for the Free Space Optics market report is 2020. The complete analysis period is 2018 to 2028, wherein, 2018 & 2019 are the historic years, and the forecast is provided from 2021 to 2028.

Major Manufactures include fSONA Systems Corp., Mostcom JSC, Collinear Networks, TrellisWare Technologies, Inc., CommConnect Group, Inc., Wireless Excellence Limited, EC SYSTEM INTERNATIONAL a.s., Sa Photonics, Inc., PW Data Group, and Laseroptronics.