Structured Cabling Market Size, Share & COVID-19 Impact Analysis, By Type (Fiber Cabling, Cabling Infrastructure, and Copper Cabling), By Cable type (Cat 5E, Cat 6, Cat 6A, Cat 7/7A, and Others), By Application (LAN and Data Center), By End-user (Residential, Commercial, and Industrial), and Regional Forecast, 2022-2029

The structured cabling market size was USD 10.85 billion in 2021 and is projected to grow from USD 11.62 billion in 2022 to USD 21.48 billion by 2029, at a CAGR of 9.2% during the forecast period (2022-2029). North America accounted for a market value of USD 4.29 billion in 2021. Based on our analysis, the global structured cabling market exhibited a decline of 4.2% in 2020 as compared to 2019. The report's scope comprises various structured cabling products and solutions from key players such as ABB Ltd., Anixter International Inc., Belden Inc., Cisco Systems Inc., CommScope Holding Co. Inc., Corning Inc., Datwyler Holding Inc., Eland Cables Ltd., and others. These players offer copper cabling, fiber optic cables, and modular connectors for the data center and Local Area Network (LAN) applications. Anixter International Inc. offers several products such as copper cabling infrastructure, fiber optic cables infrastructure, racks & enclosures, power & thermal management, cable industry management & pathways, wireless, passive optical networks, networking tools, and test equipment that support a wide range of industry standards for IT & telecom and automotive.

Rising demand for the copper-based structured cabling industry for the development of smart cities and surging demand for data centers with the support of several countries' governments have propelled the market growth. For instance, in November 2021, the Indian government announced around USD 700 billion for smart city projects for the next 10 years. The Indian government has planned to invest USD 10,000.0 billion by 2030, owing to massive urbanization in the country. In July 2022, Thailand government planned to build USD 37 billion worth smart cities in an industrial hub near Bangkok that's already drawn billions of dollars of investment pledges from global automotive, robotics, healthcare, and logistics companies. 

Also, the key players of structured cabling are developing advanced cabling systems solutions across the IT and telecom industries. For instance,

• In March 2022, ABB India Ltd. and ABB Asea Brown Boveri Ltd., Switzerland, collaborated to develop on-site cabling with Category 6 copper infrastructure and OM3 fiber optic backbone for the 10 Gigabit Ethernet.

COVID-19 IMPACT

Lack of Investments and Halting of Operations Related to Broadband Connections Hindered Market Growth

The COVID-19 pandemic has significantly impacted the advanced technology sectors around the globe. The COVID-19 pandemic has negatively impacted the supply of raw materials related to the electronics industry. The value chains of the electronics and telecom components have been disrupted around the globe, owing to the closure of manufacturing facilities. According to the World Economic Outlook in 2021, the global economic production activities in 2020 declined by -3.3% in the gross domestic product in real terms, owing to massive declination in international trades, transportation, electronics, energy, and others. Also, several government authorities and electronics manufacturing companies have stopped operations amid the COVID-19 pandemic. The global structured cabling market share showed a slight decline in the market size by 4.2% in 2020 compared to 2019. In terms of revenue, the market witnessed a decrease in revenue to USD 10.31 billion in 2020. According to the International Telecommunication Union Report in 2020, the lockdown in the second quarter of 2020 has declined the income of the IT and telecommunication sector from 2% to 4%.

Post COVID-19 pandemic, the demand for cabling increased astoundingly due to rising IT and telecom investments around the globe. Also, increasing investments in the data centers by the leading players’ post-pandemic have led the market growth. For instance, as of 2021, globally, around 7.2 million data centers were being established, driving the market growth.

LATEST TRENDS

Rising Adoption of 5G, Edge Computing, Technological Advancements, and Advanced Applications to Propel Market Growth

Rising demand for high-speed connectivity, 5G, and Wi-Fi 6 cabling systems is boosting the structured cabling market growth. Also, increasing adoption and investment in 5G and wireless technologies around the globe aids the market growth. As per the International Telecommunication Union (ITU), investment across wireless technologies in the U.S. reached around USD 600 billion in 2020, owing to the rising adoption of wireless devices and 5G technologies. Rising acceptance & investments of 5G technologies, edge computing, and surge in cloud computing by enterprises is trending in the market. For instance,

• In July 2022, Lumen Technologies planned to invest in edge networking to expand and develop its edge computing solutions in Europe. The company planned to facilitate cloud computing and edge computing low latency platforms for businesses requiring high bandwidth and data-intensive applications.

Such an increase in the investment in edge computing, cloud computing, and 5G wireless technologies around the globe is expected to create ample opportunity for the market growth. It is widely used for better internet connectivity across organizations. 5G networks and edge computing networking applications require cabling for better internet connectivity. Rising investment in such technologies around the globe is expected to drive market growth.

STRUCTURED CABLING MARKET GROWTH FACTORS

Rising Broadband Infrastructure Development to Drive the Market Growth

The rising development of broadband infrastructure projects and the surge in several countries' government initiatives for making intelligent cities have led to the demand for cabling solutions. Broadband connections are established with the help of this cabling and associated hardware systems, which facilitate practical telecommunication industries. This cabling is used for a wide range of applications, including telephonic services, data transmission, and internet broadband connectivity through a cabling & computer network. Rising investment by leading players for the development of broadband connections around the globe has propelled the global market growth. According to the World Economic Forum Organization, broadband connectivity investment is expected to reach around USD 428.0 billion by 2030 for connecting the world's population to the internet. Such an increase in global assets is expected to witness potential demand for the product.

Further, the rising penetration of mobile technologies and the surge in mobile internet adoption around the globe increase the product demand. According to the GSMA Intelligence report in 2021, the global mobile internet-connected population reached 4.2 billion and is increasing rapidly. Rising internet penetration and the penetration of the broadband infrastructure for better internet connectivity are expected to witness potential product demand.

RESTRAINING FACTORS

Lack of Usage of these Cabling for Smaller Server Rooms Applications to Impede Market Growth

Structured cabling is not ideal for small-scale industrial, commercial, and residential server room applications as it tends to make more for the infrastructural needs. Also, the presence of alternative cabling options for small server rooms' applications hinders the market growth. The alternative includes rack-level management renders, and other cabling solutions are more viable for network applications of the modern scale that inhibits the structured cabling market growth.

SEGMENTATION

By Type Analysis

Rising Investment by Key Players for Digitalization and Increasing Production of Cabling Aids Market Growth

The structured cabling market scope includes fiber cabling, cabling infrastructure, and copper cabling based on type. Copper cabling is expected to have the largest market share due to rising investment by the leading players to establish digital infrastructures around the globe. For instance, in April 2022, ABB India Ltd. inaugurated its Digital Systems and Substation Products factory in Gujarat, India. The company expanded its production facility on 55 acres of land with this expansion.

In addition, the fiber cabling segment is expected to grow with the highest CAGR during the forecast period, rapid expansion of 5G networks, and broadband connections with optic fiber cables. These are the reasonable solutions for the growth of internet connectivity infrastructures around the globe.

By Application Analysis

Rising Investment for Establishment of Data Centers Aids Market Growth

The market study includes data center and Local Area Network (LAN) based on application. The LAN segment is expected to hold the largest market share, owing to rapid development and investments in broadband connectivity across the globe.

In addition, the data center segment is expected to show prominent growth during the forecast period, with the highest CAGR over the forecast period. This is primarily owing to the data center by leading players across Asia Pacific countries, including India, China, Japan, and others. For instance,

• In June 2022, Equinix's digital infrastructure firm invested more than USD 86 million in building an international business exchange data center in Mumbai, India. This increase in investment in building the data center convergence in Asia Pacific countries is expected to strengthen the market growth as it is widely used for the data center application for broadband connectivity.

By Cable Type Analysis

Royalty to Witness High Growth owing to Rising Bulk Purchase of IP Products by Electronics Device Manufacturers

The market scope includes Cat 5E, Cat 6, Cat 6A, Cat 7/7A, and others (Cat 8) based on cable type. Cat 6 is expected to hold the largest market share, owing to its usage for commercial and industrial applications. Cat 6 type of cable is widely used for automotive, energy & power, broadband connectivity, and smart city projects. Rising government initiatives and investments for broadband connectivity and internet connections establishments to strengthen digitalization will aid the market growth.

By End-user Analysis

Rising Development of Cloud Infrastructure and Data Center by Leading Players Aids Market Growth

The market scope includes residential, commercial, and industrial based on end-user.

The industrial segment is expected to hold the largest market share and grow with the highest CAGR during the forecast period. This is primarily owing to the growing developments of the local area network internet connectivity and rising investment for 5G network establishments. For instance, according to the GSMA Intelligence Report in 2021, investment in upgrading 5G infrastructures is expected to reach USD 600 billion between 2022 to 2025.

Further, the industrial scope includes automotive, IT & telecommunications, military & defense, energy & utilities, oil & gas, and others (healthcare). Among these, IT and telecommunication is expected to have the most significant CAGR owing to rising investments in cloud infrastructure and data centers due to a surge in the adoption of digitalization strategies.

The commercial segment is estimated to grow at a moderate CAGR during the forecast period. This growth is due to rising demand across telecommunication, securities, and commercial audiovisual platforms. The retail end-users prefer this standardized cabling for safety, cost efficiency, and better connectivity.

REGIONAL INSIGHTS

Geographically, the structured cabling market share is fragmented into five major regions, Asia Pacific, North America, the Middle East & Africa, Europe, and South America. They are further categorized into countries.

North America dominated the Structured Cabling Market with a share of 39.54% and was valued at USD 4.29 billion in 2021. North America held the maximum market share due to the rising investment by the key players in developing the region's 5G, broadband, and communication infrastructure development projects. In 2021, the USDA planned to invest around USD 635 million through the ReConnect Program for building the data center infrastructure throughout the U.S.

Such an increase in investment for data center establishment and development of broadband connections drives the market growth.

Asia Pacific is projected to grow at the highest CAGR during the forecast period, owing to several countries' governments' rising investment in wireless technology and innovative city projects. Asia Pacific countries, such as India, China, Japan, and Singapore, are investing significantly in smart city projects to develop their economies. For instance, according to the India Brand Equity Foundation report in March 2021, the Indian government has allocated around USD 27 billion for the Smart City Mission and around USD 23.29 billion tendered. Such high investments for smart city project deployments around the globe are expected to create ample opportunity for the growth of the market as it is widely used for smart city technology developments.

Europe is projected to grow with a moderate CAGR due to the leading players' rising cloud infrastructure and data center-related investment. Also, the European Government is investing in smart city projects and developing advanced communication infrastructure across countries, including Italy, Sweden, Germany, the U.K., and Netherlands. For instance,

• In July 2022, the European Union planned to invest around USD 1.8 billion for 17 large-scale innovative technology projects under innovation funds. The selected projects would be located across several European countries, including Bulgaria, Poland, France, Finland, Iceland, Germany, Norway, the Netherlands, and Sweden.

South America's countries, including Brazil, Argentina, and others, are increasing at a moderate pace owing to a surge in digitalization strategies for broadband connection developments with government support and funding. In June 2022, Alphabet Inc's business segment Google Cloud invested around USD 300 billion to develop the IT infrastructure and promote data center investment.

The Middle East & Africa is expected to grow with a moderate CAGR, owing to rising IoT spending, development of IT infrastructures, and rising government smart city projects. For instance,

• In January 2021, the Saudi Arabia Government invested around USD 200 billion to create a smart city project named 'Neom City'. In line with this project, the kingdom of Saudi Arabia aimed at building a global high technology-based metropolis across Israel, Jordan, and Egypt. Such an increase in investments for 5G deployments and IT infrastructure development through smart city projects is expected to create ample opportunity for the market growth in this region.

KEY INDUSTRY PLAYERS

Key Players are Expanding their Operations by Launching Advanced Structured Cabling

The structured cabling market has several leading structured cabling players such as ABB Ltd., Anixter International Inc., Belden Inc., Cisco Systems Inc., CommScope Holding Co. Inc., Corning Incorporated, and others. These key players are adopting corporate strategies such as mergers, acquisitions, partnerships, product launches, and collaborations. For instance,

• In September 2021, Nexans SA acquired Centelsa, a premium cable manufacturer in Latin America, to expand the active production of the cables required for utility and building applications.


• In July 2021, Sterlite Technologies, integrator of the digital network, launched next-generation NetXs, a suite of structured cabling solutions. NetXs delivers superior performance for data transmission applications in advanced networking solutions across the globe.


• In February 2021, Legrand SA acquired Champion ONE optical networking component provider to expand the enterprise, data center, and telecommunication markets.

List of Key Companies Profiled in Structured Cabling Market:

• ABB Ltd. (Switzerland)


• Anixter International Inc. (U.S.)


• Belden Inc. (U.S.)


• Legrand SA (France)


• CommScope Holding Co. Inc. (U.S.)


• Cisco Systems Inc. (U.S.)


• Corning Inc. (U.S.)


• Datwyler Holding Inc. (Switzerland)


• Furukawa Electric Co. Ltd. (Japan)


• Hubnetix Corp. (U.S.)

KEY INDUSTRY DEVELOPMENTS:

• In January 2022, Panduit Corp. introduced RapidID Network Mapping System designed to reduce the time and cost required for patch cord documentation. It is a software-based network mapping system for several scalable, smart, and efficient LAN connectivity applications.


• In November 2021, Nexans SA launched the Mobiway Un'Reel solution, which makes cable installation simpler, more intelligent, more cost-effective, and secure across various low and medium-voltage cables.


• In November 2021, Reichle & De-Massari AG expanded the production capacity of the cable plant across Dìèín, Czech Republic. The company planned to invest millions of dollars in advanced fiber optic cable production by the end of 2022.


• In October 2021, Siemens partnered with Paessler to secure uptime IT infrastructure. Paessler joined Siemens intelligent data center complimentary manufacturing partner program that hosts industry-leading organizations. The company delivers additional customer support and values for the data center and smart building applications.


• In September 2021, Nexans SA acquired Mexico-based Centelsa SA premium cable manufacturer across Latin America. This accelerated value-creation and electrification for grid management software and energy cables and delivered operations synergies.

REPORT COVERAGE

The structured cabling market report offers qualitative and quantitative insights into the market and a detailed analysis of the size & growth rate for all possible segments in the market. It also elaborates on market research, dynamics, emerging trends, and the competitive landscape. Key insights offered in the report are the adoption of automation by individual segments, recent industry developments such as partnerships, mergers & acquisitions, consolidated SWOT analysis of key players, business strategies of leading market players, macro and micro-economic indicators, and key industry trends.

REPORT SCOPE & SEGMENTATION

ATTRIBUTE	DETAILS
Study Period	2018-2029
Base Year	2021
Estimated Year	2022
Forecast Period	2022-2029
Historical Period	2018-2020
Unit	Value (USD billion)
Segmentation	By Type, Cable Type, Application, End-user, and Region
By Type	Fiber Cabling Cabling Infrastructure Copper Cabling
By Cable Type	Cat 5E Cat 6 Cat 6A Cat 7/7A Others (Cat 8)
By Application	Local Area Network (LAN) Data Center
By End-user	Residential Commercial Industrial Automotive IT & Telecommunications Military & Defense Energy & Utilities Oil & Gas Others (Healthcare)
By Region	North America U.S. (By Cable Type) Canada (By Cable Type) Mexico (By Cable Type) South America Brazil (By Cable Type) Argentina (By Cable Type) Rest of South America Europe U.K. (By Cable Type) Germany (By Cable Type) France (By Cable Type) Italy (By Cable Type) Spain (By Cable Type) Russia (By Cable Type) Benelux (By Cable Type) Nordics (By Cable Type) Rest of Europe Middle East & Africa Turkey (By Cable Type) Israel (By Cable Type) GCC (By Cable Type) South Africa (By Cable Type) North Africa (By Cable Type) Rest of the Middle East & Africa Asia Pacific China (By Cable Type) Japan (By Cable Type) India (By Cable Type) South Korea (By Cable Type) ASEAN (By Cable Type) Oceania (By Cable Type) Rest of Asia Pacific