The Optical Transport Network (OTN) market is expected to grow to $23.64 billion in 2019 with a Compound Annual Growth Rate (CAGR) of 15.8% from an estimated $11.35 billion in 2014, according to a new market report published by MarketsandMarkets.
North America is expected to be the biggest market on the basis of spending and adoption of the OTN equipment and devices and APAC is the highest growing region with a CAGR of 19.3% in this market.
According to the MarketsandMarkets, the increased demand of bandwidth from both residential and business customers is playing a major role in shaping the future of the OTN Market. As the communication industry continues to grow with the increased use of internet by the residential customers for online gaming, video chatting, social media, and online shopping, the requirement for bandwidth for the metros and urban cities has grown significantly.
The market research firm said that the technologies used in OTN (Wavelength Division Multiplexing (WDM) for Metros and Dense Wavelength Division Multiplexing (DWDM) for long haul) enables OTN to overcome the bandwidth limitations of SONET/SDH. OTN is also rapidly gaining traction in metros with the deployment of its 100Gbps line.