Structured Cabling Market Expected to Reach $20.88 Billion By 2030

According to a new report published by Allied Market Research, titled, “Structured Cabling Market by Offering, Cable Type, And Industry Vertical: Global Opportunity Analysis and Industry Forecast, 2021–2030,” the global structured cabling market size was valued at $10.62 billion in 2020, and is projected to reach $20.88 billion by 2030, registering a CAGR of 7.4% from 2021 to 2030. Asia-Pacific is expected to be the leading contributor toward the structured cabling market during the forecast period, followed by LAMEA and Europe.  

A structured cabling framework is a comprehensive arrangement of cabling and related equipment, which provides an extensive communications infrastructure. This framework serves a wide scope of applications, for example, to provide telecom services or transfer information through a computer network.

The growth of the global structured cabling market is anticipated to be driven by factors such as surge in investments in communication infrastructure, and rising trend of data center convergence. In addition, increasing demand for high-speed connectivity devices & systems, boosts the overall market growth. However, fluctuating raw material prices acts as a major restraint of the global structured cabling industry. On the contrary, growing acceptance of 5G technology & improving broadband infrastructure globally is expected to create lucrative opportunities for the structured cabling industry.

Moreover, developing nations tend to witness high penetration of structured cabling products, especially in IT & Telecommunications sector, which is anticipated to augment the market growth. Factors such as surge in number of data centers accelerate the structured cabling market growth.

The global structured cabling market is segmented on the basis of offering, cable type, industry vertical, and region. By offering, the market is classified into hardware, services, and software. Depending on cable type, the market is categorized into category 5E, category 6, category 6A, and others. On the basis of industry vertical, the market is classified into IT & telecommunications, residential, commercial, government, manufacturing & automation, military & defense, energy, oil & gas, and others.

Region wise, the structured cabling market trends have been analyzed across North America, Europe, Asia-Pacific, and LAMEA. North America contributed maximum revenue in 2020. However, between 2020 and 2030, the structured cabling market analysis in Asia-Pacific is expected to grow at a faster rate as compared to other regions. This is attributed to increase in demand from the emerging economical countries such as India, China, Japan, Taiwan, and South Korea.

COVID-19 Impact Analysis

The outbreak of COVID-19 has significantly affected the electronics and semiconductor sector. Business and manufacturing units across various countries were closed, owing to increase in number of COVID-19 cases, and are expected to remain closed in 2021. Furthermore, partial or complete lockdown has disrupted global supply chain posing challenges for manufactures to reach customers.

The COVID-19 pandemic is impacting the society and overall economy across the globe. The impact of this outbreak is growing day-by-day as well as affecting the overall business globally. The crisis is creating uncertainty in the stock market and is resulting in falling business confidence, massive slowing of supply chain, and increasing panic among the customer segments.

Asian and European countries under lockdowns have suffered major loss of business and revenue, due to shutdown of manufacturing units. The operations of the production and manufacturing industries have been heavily impacted by the outbreak of the COVID-19 disease, which further impacted the growth of the structured cabling market.

In addition, the COVID-19 pandemic has impacted the electronics sector, as the production facilities have stalled, which, in turn, have boosted the demand for electronics and semiconductor products in the industries. Its major impact includes a large-scale manufacturing interruption across Europe and interruption in Chinese parts exports, which may hinder in the market.

Key Findings of The Study

• The IT & telecommunications sector is projected to be the major application, followed by commercial.
• Asia-Pacific and North America collectively accounted for more than 56% of the structured cabling market share in 2020.
• India is anticipated to witness highest growth rate during the forecast period.
• U.S. was the major shareholder in the North America structured cabling market, accounting for approximately 73% share in 2020.
• Depending on cable type, the category 6 segment generated the highest revenue in 2020. However, the category 6A segment is expected to witness the highest growth rate in the near future.
• Region wise, the structured cabling market was dominated by North America. However, Asia-Pacific is expected to witness significant growth in the coming years.

The key players profiled in the report include Belden, Inc., Cisco Systems, Inc., CommScope Holding Co., Corning Inc., Furukawa Electric Co., Ltd., Legrand, Nexans S.A., Schneider Electric, Siemon, and TE Connectivity. These players have adopted various strategies such as business expansion, and product launch to strengthen their foothold in the industry.