The Global Microduct Market Size Was Valued At USD 4.06 Billion In 2021. The Market Is Projected To Grow From USD 4.41 Billion In 2022 To USD 9.08 Billion By 2030, Exhibiting A CAGR Of 10.8% During The Forecast Period.

Microduct Market Overview:

The global COVID-19 pandemic has been unprecedented and shocking. Demand for microduct is lower than expected in all regions compared to levels before the pandemic. According to our research, the global microduct market grew by 10.1% from 2019 to 2020.

Microducts are used to cover and protect microcables and fibre optic tables, kind of like a tube. These products help to connect and structure a large data network, which makes it possible for infrastructure to set up more fibre networks. With better installation routes and more ruggedness, the service provider can build up the network structure on demand. The global demand for fibre optic cable infrastructure for FTTX networks and data centre applications is growing, which will give the product a big boost in its use.

Microduct is a key part of IT solutions and the spread of the internet to different parts of the world. This is because IT professionals and people with personal interests are increasingly using fibre optic cable networks for faster, more reliable data networks.

Market Dynamics:

Latest Trends:

New technologies in cloud computing will help the market grow.

Companies use cloud computing to run web servers from afar and to process important data. Some of the things that are driving the growth of these new technologies are the increase in the amount of data generated by mobile apps and website apps, the focus on using customer-centric apps, and the cost of running businesses.

A lot of microduct products use technologies like Machine Learning (ML), Artificial Intelligence (AI), and Big Data. This helps the cloud computing technology grow around the world.

The things that drive cloud computing services are the benefits that come with it, such as data security, compliance requirements, and Faster Disaster Recovery (FDR).

Driving Factors:

Microduct cables will be used to connect more data centres, which will help the market grow.

When more data centres are built around the world, the demand for microduct in the data centre industry goes up, which helps the market grow. Data centres need fibre optic cabling because of technologies like microduct and fibre optic cables that use cables. Also, these cables are used to communicate between data centres and within the same data centre.

Optical interconnect is used to send data between data centres in buildings that are part of inter data centre sources. With these channels of communication, data is sent between two data centres or campuses. Since there can be thousands of kilometres (km) between two data centres, they need a high transmission speed. So, in order to send a lot of data, data centres need to have a high data transmission bandwidth. So, the growth of the global market is driven by the rise in demand for these ducts in data centre sectors.

The speed of microduct is 10 times faster than that of traditional network cables. This makes the demand go up for these types of cables, which are used to support networks in data centres. As a result, the demand for microducts cables for data centres is also likely to go up. The product demand goes up because there are more data centres, which improves security, makes it easier and cheaper to connect IT infrastructure, and makes networks easier to find.

Restraining Factors:

Raw material prices that go up and down and a lack of skilled workers slow market growth.

Manufacturers use important materials like High Density Poly Ethylene (HDPE), polyethylene, Medium Density Poly Ethylene (MDPE), Low Density Poly Ethylene (LDPE), Low Smoke Zero Halogen (LSZH), rubber, and plastic-based ingredients. The prices of raw materials like polyethylene and rubber change a lot. Changes in the prices of raw materials can affect the sales of these products, which in turn affects the sales of microduct manufacturers and their profit margins. This slows the growth of the market.

Also, the different types of servicing and installation equipment can cause more damage to the hardware, which leads to higher maintenance costs. Skilled workers are needed to put these cables in place, which raises the cost for companies and slows the growth of the market.

Segmentation Analysis:

By Type Analysis:

The flame retardant segment is expected to have the biggest share of the market because it is used in FTTx networks and data centers and because it can work in a wide range of temperatures and has a high level of reliability because it is resistant to fire.

Also, manufacturers are interested in making flame-resistant microduct cables because they are better for the environment in terms of how they are made and how little acid gas they give off.

The good performance of the segment in the global market is also helped by the fact that it is easier and more convenient to install, operate, and use in general. But the direct burial type and direct install type segments are also expected to keep a large share of the market. This is because these types of microducts work best in certain places.

By Application Analysis:

The market is divided into FTTX networks, other access networks, backbone networks, data centre applications, and others based on how they are used. The FTTx networks segment is expected to be the most important application segment because the number of households using fibre optic-based broadband data networks is growing.

Also, the good performance of the FTTX networks segment is mainly due to the efforts of private investors and public authorities to increase the rate of internet connections through fibre optic cables so that people in different parts of the world have a reliable, convenient, and cost-effective network source.

Data centre applications are also expected to have a big share and grow at a faster rate. This is because leading tech companies need more data centre infrastructure and more data science and network automation techniques are being used in different markets.

Also, it is expected that other access networks, backbone networks, and other segments will make up about 20% of the market share with moderate growth.

Regional Insights:

Asia-Pacific is expected to have the biggest share of the market because the demand for high-speed internet services is growing and fixed broadband services are being used in all parts of Asia. In the coming years, the growth of broadband network subscriptions is expected to continue to change, with a shift from traditional DSL or cable connections to 100% fibre optic cable connections. This will increase the need for microducts.

Also, the growth of IT service clusters in India, a developing market, and many ASEAN countries is expected to boost sales of microducts as more data centres are built in these clusters.

China is at the top of the market because it has put a lot of money into developing the internet and data sectors. Due to things like low manufacturing costs, low labour costs, and low raw material costs, China has developed and set up manufacturing clusters where microduct manufacturers with a large regional market reach and a large profit yield from other parts of the Asia-Pacific region have popped up frequently. Chinese manufacturers are quickly moving up the technology and quality ladder as they continue to invest in R&D and change their reputation as low-price, low-quality innovators into "value for money" constructive innovators.

Also, North America is the biggest market, followed by Asia-Pacific. This is because North America has a lot of big companies and global manufacturers. North America's development potential is also boosted by the companies' hidden efforts to improve technology. They do this through strategic partnerships, collaborations, acquisitions, strong investments in research and development operations, and joint ventures.

Also, the second half of the forecast period is expected to see a big rise in the Europe market. The FTTX network has been identified as the main application that brings in most of the market's revenue. More and bigger investments are being made by key players in the data and communication business to expand the reach of fibre broadband-based access network infrastructure across all of Europe. This is expected to increase sales of microduct in Europe.

The GCC has a big share of the microduct market and is growing quickly in the Middle East and Africa region. This is because market players have big plans to roll out fibre optic networks in Dubai, Al Ain, and Abu Dhabi. The market is also gaining a lot of speed because operators are looking for a paradigm shift toward 5G technology for developed Gulf countries. Over time, the main factors that will drive market growth are likely to be the growing use of FTTx networks and the rise in FTTH and FTTB subscriptions in the regional market.

During the forecast period, Latin America's growth is expected to be slow. This is because there are few global market players in the region and the market's distribution channels aren't very well developed. Latin America's market is growing because more people are getting online and customers are becoming more dependent on e-commerce and online shopping. Due to a lack of manufacturing facilities, the market relies heavily on goods that come from other countries.

Scope Analysis

Recent Development:

• July 2022 – Clearfield Inc acquired Nestor Cables Ltd, a Finnish-based company dealing in fiber optic cables, microducts and cables. The purchase price was approximately $23 million. Acquisitions will also help improve our product portfolio and improve our geographic presence.
• February 2022 – Egeplast International GmbH opens a new manufacturing facility in Greben, Germany. The business expansion was aimed at doubling the production capacity of microducts and related products. The manufacturing facility consisted of 11,000 square meters. The manufacturing facility will be completed by 2023.
• December 2021 – Emtelle Holdings Ltd acquired Afripipes, a Dubai-based company dealing in micro ducts, plastic pipes and ducts. This acquisition was aimed at improving the footprint of Microduct products.
• December 2021 – Prysmian Group launches new Sirocco series microduct cables for the telecom and energy sectors. This cable has the latest 576f cable, is 8.2mm in diameter and offers a fiber density of 10.9 fibers per mm2. Ideally suited for FTTX, FTTP and FTTH connection networks.
• August 2021 – Hexatronic Group AB (publ) has signed a deal with US-based Ting Internet for approximately $50 million. The contract was made to provide micro ducts, micro cables and blower tools for fiber to the home (FTTH) connections.

Market Segmentation

By Type:

• Direct Install
• Direct Burial
• Flame Retardant
• Others

By Application:

• FTTX Networks
• Other Access Networks
• Backbone Networks
• Data Center Application
• Others

By Companies:

• Emtelle Holdings Ltd (Scotland)
• Primo (Denmark)
• Hexatronic Group AB (Sweden)
• Prysmian Group (Italy)
• Datwyler Holding Inc. (Switzerland)
• Egeplast International GmbH (Germany)
• Clearfield Inc (U.S.)
• Spur A.S. (Czechia)
• GM Plast A/S (Denmark)
• Belden Inc (U.S.)
• Others