Photonic IC subsystems and components to net $11 billion by 2006

June 1, 2002

The market for photonic IC subsystems and components netted $4.3 billion in 2001 and will experience an average annual growth rate (AAGR) of 20.5% to reach almost $11 billion by 2006, according to a new report by Business Communications Co. Inc. (BCC-Norwalk, CT). The market for these devices has reached a critical commercial threshold, thanks to the optical-component industry's migration from manual assembly to automated semiconductor wafer-processing techniques and single-chip solutions.

The market for discrete devices or integrated optical circuits, including pump and source laser diodes and photodiodes, is expected to grow at an AAGR of 18.5% to reach nearly $9.5 billion by 2006. The market for subsystems, meanwhile, will experience a 42.2% AAGR to net $1.5 billion by 2006.

According to the report, the preponderance of growth for photonic chips will take place in 2003 and beyond, when simultaneous upgrades to network architecture and bandwidth-specifically, all-optical and 40-Gbit/sec networks-will establish sizable end markets for the devices. The wide-scale adoption of photonic switches and subsystems, optical add/drop multiplexers, and optical crossconnects will also boost the market, since they are predominantly based on chip architectures.

For more information on the report, "RGB-256 Photonic Integrated Circuits: New Directions," call Business Communications Co. Inc. at 203-853-4266 or visit www.bccresearch.com.

Sponsored Recommendations

Metro Networks Evolutions

March 4, 2025
Join experts at EXFO and Ekinops in this webinar that will review the evolving metro-centric requirements and the technologies emerging to meet them.

On Topic: Metro Network Evolution

Dec. 6, 2024
The metro network continues to evolve. As service providers have built out fiber in metro areas, they have offered Ethernet-based data services to businesses and other providers...

State of the Market: AI is Driving New Thinking in the Optical Industry

Dec. 5, 2024
The year 2024 marked an inflection point for AI. In August, OpenAI’s ChatGPT reached 200 million weekly active users. Meanwhile, McKinsey reported that 72% of ...

Innovating the network edge with 100ZR QSFP28: The next frontier in coherent optics

Jan. 15, 2025
In this webinar, Juniper Networks, EXFO and Precision Optical Technologies are teaming up to showcase the new 100ZR QSFP28 pluggable coherent technology, exploring its foundational...