Structured Cabling Market to Witness Robust Expansion Throughout the Forecast Period 2018-2028

Published: Thu Sep 26 2019

According to the recent study by Fact.MR, the structured cabling market was valued at over US$ 15.8 Bn in 2018, and is estimated to exhibit a Y-o-Y growth at over 7% in 2019. The structured cabling industry remains influenced by a slew of aspects, such as evolution of the power over Ethernet (PoE) " an efficient power source for myriad applications " that has complemented growth strides of the telecommunication sector as a consequence. The study finds that fiber cables are fast replacing the copper cables in the telecommunication infrastructures worldwide.

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The study finds that the structured cabling market is witnessing a significant transformation, wherein the focus on service offerings has become imperative among vendors and customers alike. As the labor costs apropos of structured cabling installations continue to surge worldwide, ripple effects of these are having a significant impact on the total cost of ownership, which in turn have led to a developmental surge in software and services.

According to the study, the labor expenses account for approximately 30% of the structured cabling installation costs, and it varies from country-to-country owing to diverse currency rates. Also, the availability of skilled labor with respect to the labor costs varies largely between the developed and developing markets. For instance, while the availability of skilled labor to that of labor cost is balanced in the U.S., the gap is significant in Mexico.

The study opines that end users continue to show a marked preference for optical fiber cables, with sales in 2018 estimated at approximately US$ 5.3 Bn. Multimode optical fiber cables are expected to be preferred over the single mode variants, in light of the former’s capacity to support higher bandwidth, which is expected to be a key requirement in the telecom sector with the impending proliferation of 5G technology worldwide.

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As more business adopt structured cabling solutions, the demand for installation services is one the rise " the study estimates gains in 2018 to exceed US$ 2.4 Bn. Companies providing structured cabling solutions are focusing on attractive service offerings , to tap opportunities in new research centers and datacenters, and help them determine best practices in network configurations and deployments.

Leading data-driven organizations are hosting certified training programs on structured cabling systems, to help the professionals better understand the concept and attain proficiency in implementation practices. Moreover, companies are recognizing the need for an integrated service that not only helps deliver the right services to consumers, but also minimizes the overall cost incurred on clients in assuring compatible hardware and customer-specific systems into a rack with structured cabling.

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