In this article, we are going to list the 15 largest fiber optic companies in the world. Click to skip ahead and jump to the 5 largest fiber optic companies in the world.
Fiber optics is the backbone of the internet. Optical fibers are clear elastic cables made up of high-grade plastic, glass, and silica through which light signals can be transmitted with very little loss of strength. It all started in 1970 where one team was experimenting with fused silica. And with that, Corning Glass researchers invented the fiber optic wire that can relay more information than a copper wire. These optical waveguide fibers let high-speed transmitting of information from one place to another, even thousands of miles away. When General Telephone and Electronics first launched telephone traffic through a fiber-optic system in 1977, the demand for fiber-optic cables increased remarkably.
With technological advancement, these optical fibers are not only being utilized in the telecommunication industry but also has numerous applications in the medical, military and defense, oil, and gas sectors. You take advantage of fiber-optics every single day thru FTTH or fiber to the home setup. It provides you high-speed internet connectivity and lets you transmit your video, audio, picture, and text files from your desktop to online in just one click. In the biomedical field, fiber optics are used in the transmission of imaging and the advancement of minimally invasive surgery to name a few. In the military and aerospace industries, it provides secure communication and optical computing. On the other hand, high-bandwidth communication is provided by fiber optics in the oil and gas industries. Other applications of optical fibers include automotive and industrial sectors.
Despite the increase in the market size of fiber optics, the growth rate of the fiber optics industry became stagnant due to the impact of COVID-19. Due to implemented lockdowns, the production and vendor operation of fiber optic companies slowed down. The global fiber optics market is valued at $6.81 billion and is projected to reach $9.91 billion by 2027 with a compound annual growth rate of 4.6%. The tremendous growth of global internet users supports the fiber optics demand prominently.
The Internet has become vital to our everyday lives as it is not only important in communication but a large population relies on the internet for profit. In the 2019 report of the International Telecommunication Union (ITU), the global internet usage rate stood at 53.6% or 4.13 billion. This means more than half of the world's population is connected to the internet. Moreover, the International Energy Agency (IEA) projected the number of internet users will surpass 5 billion in 2025.
The U.S market size of the Fiber-Optic Cable Manufacturing industry is $1.9 billion in 2020. The ongoing hype about bettering 5G connectivity that offers faster mobile internet connectivity grows the demand for fiber optic infrastructure. One of the pioneering fiber optic companies in the US is Corning Incorporated (NYSE: GLW). Corning Inc. is a New York-based cable and tech company, is one of the largest fiber optic cable providers in the US and global market. Corning Inc. is a major key player in developing 5G networks offering fiber optic technology to network operators. Despite the fiber optic industry being struck hard by COVID-19, Corning Inc remains positive with unhampered operations as the company expects 5-8% sales growth in the 4th quarter of 2020. Recently, Corning Incorporated announced a technical collaboration with North Carolina-based Commscope Holding Company Inc (NASDAQ: COMM), to deliver optical connectivity solutions worldwide. The collaboration will enable global customers and system operators to build data centers to keep up with the emerging data and computing demand.
In 2019, on the other hand, the Asia-Pacific region dominated the fiber optic industry mainly due to the increase of internet penetration in developing countries and strong investment in network infrastructure. This made China the largest supplier of optical fibers in the region. China is the home of the largest fiber-optic companies in the world like ZTE, HTGD, and YOFC. To rank the largest fiber-optic companies in the world, we have used their revenue, market cap, and net profit.
So here's our list of the 15 largest fiber optic companies in the world:
15. Fujikura Ltd
TYO: 5803 Revenue: $10.63 M Market Cap: $112.894 B
Fujikura Ltd. is a Japanese company founded in 1885 and is headquartered in Tokyo primarily engages in the development and export of resources, information and communication, electronics, and automotive goods, as well as in the provision of related services. Fujikura produces optical fiber cables and coaxial cables worldwide. The company also manages a real estate leasing business.
Copyright: gmast3r / 123RF Stock Photo
14. Tongding Interconnection Information Co Ltd
SHE: 002491 Revenue:$ 502.96 M Market Cap:$ 5.952 B
Tongding is located in Suzhou, Jiangsu, China, and is one of the top leading fiber optics companies in the world. Tongding is mainly involved in the development and delivery of communication cables and optical fibers. The company's principal products include optical fibers, optical communication cables, split optical fiber boxes, and optical fiber distribution frames to mention a few. Tongding Interconnection distributes its products overseas and China as its main market. Tongding Interconnection Information Co Ltd reported an asset amounting to $1,215 M in 2019.
13. Sterlite Technologies Limited
NSE: STLTECH Revenue: $ 703.73 M Market Cap:$ 64.47 B
Sterlite Technologies Ltd is a global technology founded in 1988 and based in Pune, India, and has manufacturing facilities in China and Brazil. STL is one of the top integrators of digital networks engaged in designing, building, and managing smarter digital systems such as optical fiber, cable, and jelly-filled telecom cable products. Sterlite Technologies Ltd reported a net income of $703.73 M and an asset amounting to $1,001 M in 2019.
12. Futong Technology Development Hldgs Ltd
HKG: 0465 Revenue: $ 848.77 M Market cap:$ 168.075 M
Futong is a Hong Kong-based optical fiber company founded in 1999 and has operating facilities in more than 20 centers in China is focused on wholesale distribution of IT products, services, and computer software. Futong Technology Development Holdgs Ltd reported a net income of $2.87 M in 2019 and has $727.5 M assets.
Copyright: andreykuzmin / 123RF Stock Photo
11. Yangtze Optical Fibre and Cable JSC Ltd
SHA: 601869 Revenue: $ 1.10 B Market cap: $18.038 B
Yangtze Optical Fibre And Cable Joint Stock Limited Company were founded in 1988 in Wuhan, China. YOFC is one of the most popular manufacturers and global distributors of optical fiber and cable products. The company also provides telecom operators, cloud and data centers, smart campuses, rail transport, education, power grids, consumer electronics, and government solutions. The assets of YOFC in 2019 is recorded at $1,104 M.
10. Belden Inc. (NYSE: BDC)
(NYSE: BDC) Revenue: $2.13 B Market Cap: $1.78 B
Belden Inc. is an American manufacturer of high-speed electronic cables and networking products founded in 1902 by Joseph C. Belden. Belden reported 34% of their sales from producing and distributing fiber optic cables, flat cables, coaxial cables, and peripheral equipment connections. The company started profiting from selling silk-wrapped magnetic wires needed for telephone coils to shifting focus to emerging technologies with internet and intranet products in 1990, Belden Inc. is one of the biggest names in the fiber optic industry. Last year, Belden Inc reported a net income of $109.65 M and total assets of $3,407 M.
9. Fiberhome Telecommunication Tech. Co.Ltd
SHA: 600498 Revenue: $3.51 B Market Cap: $29.20 B
FiberHome Telecommunication Technologies Co Ltd is a tech company based in Wuhan, China founded in 1974 is focused on designing and manufacturing telecommunication products like fiber optic cables, wires, and integrated broadband access systems (IBAS). The company is one of the world’s top distributor of communication systems, IP data products, and optoelectronic devices. FiberHome recorded a net income of $139.11 M and total assets of $4,476 M in 2019.
8. CommScope (NASDAQ: COMM)
NASDAQ: COMM Revenue: $4.5 B Market Cap: $2.48 B CommScope is a fiber optic company based in North Carolina founded in 1977 that is engaged in manufacturing, designing, and building communication products such as wired and wireless networks. The company produces fiber optic and coaxial cables used by cable and satellite television providers worldwide. CommScope Inc. has a $65.9 net income in 2019.
7. Hengtong Optic-Electric Co Ltd
SHA: 600487 Revenue: $4.6 B Market Cap: $28.84 B HTGD is a Chinese manufacturer of fiber optic cables listed as the 7th largest manufacturer in Integer's 2017 Top 100 Global Wire and Producers. The company was founded in 1993 and headquartered in Jiangsu, China and engaged in telecom, power, and new energy sectors. Hengtong provides optical cable products for automobiles, submarines, and energy applications.
Copyright: hywards / 123RF Stock Photo
6. Jiangsu Zhongtian Technologies Co., Ltd.
SHA: 600522 Revenue: $5.51 B Market Cap: $33.45B
Jiangsu Zhongtian Technologies Co., Ltd. or ZTT is one of the largest fiber-optic suppliers in the world. The company was established in 1992 and since then developed 1,000 varieties of fiber optic communication and power transmission products. Jiangsu Zhongtian Technologies Co., Ltd. reported a net income of $279.9 M and assets of $5,713 M in 2019. Click to continue reading and see the 5 largest fiber optic companies in the world. Disclosure: No positions. 15 largest fiber optic companies in the world is originally published on Insider Monkey.