According to a new ElectroniCast global market forecast, internal optical interconnect subsystems consumed $81.7 million of fiber optic components in 2000. The global consumption value will increase to $896 million in 2005, and $6.91 billion in 2010. These components will support internal optical interconnect subsystem growth from $427.6 million in 2000 to $13.8 billion in 2010.
Optical signal interconnection has been used inside electronic equipment in both enclosures and between enclosures of multi-enclosure equipment over the past decade with steadily expanding volume. "Until about 1993, this remained too small in value to be of significant interest to major component suppliers. Strong growth in these component markets was achieved over the 1993-2000 span. Several technical and economic factors, however, have now come together to drive acceleration of growth of the internal optical interconnect components and subsystems markets," ElectroniCast Founder and Chairman Jeff D. Montgomery said.
"Optical interconnect component value will be leveraged to a substantially higher value of optical interconnect subsystems. The value of the optical interconnect subsystems include the optical interconnect components, materials, plus design and tooling costs, assembly and test labor costs, general sales and administration (GS&A) costs and profit," ElectroniCast Senior Analyst Saba Hailu said. The global optical interconnect subsystem consumption in 2000 was $428 million; this will increase to over $13.8 billion in 2010.
Factors driving the accelerating demand for internal equipment optical interconnect include:
* Rapidly increasing density and functional power of all digital machines, supported by the continuing trend of improved performance, greater density and lower cost per function of integrated circuits.
* The trend to higher data rates per microprocessor, and the rapidly increasing number of microprocessors per machine, resulting in much higher speed internal buses and external access.
* The rapidly decreasing cost of internal optical interconnect links, supported by lower cost (with higher performance) emitter and detector chips, lower cost signal processing ICs and lower cost, miniaturized fiber connectors and packages; impact of automated high volume assembly and test.
* Expanding DWDM; many more wavelengths/channels, thus more optical interconnect links through a typical equipment.
The first wave of substantial internal optical interconnect (intrasystem) consumption consisted of fiber links and harnesses. "This is now being augmented by a second wave of lower cost (in high volume) optical interconnect waveguide in polymeric film. Optical interconnect also is reaching practical use in multi-chip modules (hybrid optoelectronic ICs) and other packages," Montgomery said.
The "Internal Optical Interconnect Components & Subsystems Market & Technology Forecast" focuses on internal optical interconnect, which includes interconnection between different modules or cabinets (racks) of a single equipment (A digital crossconnect switch may have as many as 70 cabinets). The same driving forces will support strong growth of interenclosure (between equipments) fiber links. Many of the internal interconnect (intra-equipment) components will also find strong markets for interenclosure use.
The "Internal Optical Interconnect Components & Subsystems Market & Technology Forecast" is available for $15,000. For more information, visit www.electronicast.com.