North American FTTH Market Predicted To Hit Record Level In 5 Years

North American FTTH Market Predicted to Hit Record Level in 5 Years

17 January 2013

Direct investment in North American fiber-to-the-home (FTTH) deployment is set to increase to $4.7 billion annually, or an aggregate $18 billion, by 2017, analyst firm RVA LLC says in a report made public last week.

At the same time, revenues from FTTH services are projected to reach $4 billion by 2017, or $9 billion cumulatively, over the next five years, RVA says in its "North American Fiber to the Home and Advanced Broadband Review and Forecast to 2017" report, which monitors both deployments and user demand for high-bandwidth services.

Deployment expansion will continue in the next five years despite the tough economic climate, the closure of the ARRA broadband stimulus program and changes to the FCC's Universal Service program, the report says.

While the FTTH market has been previously driven by one key player, Verizon, growth over the next five years will come from a diverse group of providers including small, medium and large ones, RVA believes.

RVA's predictions for the usage of high-bandwidth services ranging to 1 Gbps are also optimistic, with the number of subscribers seen growing fast to create a major market for software, application and programming developers.