The dark fiber market in Malaysia is set to grow by USD 95.16 million accelerating at a CAGR of over 11%, during the period spanning over 2020-2024. One of the key factors driving growth is the increased data traffic. The rapid adoption of automation technologies across end-user industries has increased data traffic. Increase in data center investments in Malaysia is a significant trend that will further stimulate market growth. The advent of technological innovations, such as ML, AI, and DL, has resulted in a surge in the number of data center establishments across Malaysia.
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Technavio has announced its latest market research report titled Dark Fiber Market in Malaysia 2020-2024 (Graphic: Business Wire).
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Parent Market Analysis
Technavio categorizes the dark fiber market in Malaysia as a part of the global alternative carriers market within the global communication services market. The parent global alternative carriers market covers providers of communications and high-density data transmission services primarily through a high bandwidth/fiber-optic cable network. Growth in the global alternative carriers market will be driven by the advances in wireless communication technology.
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Dark Fiber Market in Malaysia: Segmentation by Type
The report segments the market by service: multi-mode and single-mode. The multi-mode type segment led the market in 2019. Multi-mode dark fibers are widely used in short-distance applications, such as data and audio/visual uses in LANs, as well as in connections within buildings or remote offices near one another. In addition, the increasing adoption of fiber to the premises (FTTP) and fiber to the cabin (FTTC), and others are contributing to the growth of the segment.
Dark Fiber Market in Malaysia: Segmentation by Service
The long-haul service segment was leading the segment in 2019. The segment is mainly driven by increasing investments in long-haul dark fiber network infrastructure. Besides, vendors in the market are partnering with social media companies, enterprises, and colocation service providers to provide dark fiber connectivity between countries, which is fueling market growth. This report provides an accurate prediction of the contribution of all the segments to the growth of the dark fiber market size.
Dark Fiber Market in Malaysia: Growth Drivers
The market is driven by increasing data traffic. Factors such as rapid digitization, adoption of automation technologies, rising use of social media platforms, and the advent of IoT devices have led to an exponential rise in data traffic. For instance, the internet traffic in Malaysia grew sevenfold higher in May 2019 compared to that in 2009. Similarly, when the Movement Control Order (MCO) was imposed in the first week of April, the data traffic increased by one-fourth. The rise in data traffic has been attracting investments in communication network infrastructure such as optical fiber networks to cater to the growing end-user requirements. All these factors will fuel the growth of the market during the forecast period.
Dark Fiber Market in Malaysia: Challenges to overcome
Dark fiber network installations are associated with huge upfront investments and high leasing costs as service providers need to install equipment such as amplifiers, filters, receivers, and transmitters. Also, lease costs vary depending on the bandwidth requirements of customers. Also, identifying faults in optical long-haul fiber cables is extremely difficult.
Dark Fiber Market in Malaysia: Vendor landscape
This report provides information on revenue, organizational developments, and key go-to-market strategies of several leading dark fiber companies, including:
- AT&T Inc.
- Fiberail Sdn Bhd
- MSA Resources Sdn Bhd
- OpenDC SDN BHD
- SEAX GLOBAL PTE. Ltd.
- Setia Haruman Sdn Bhd
- Telekom Malaysia Berhad
- TIME dotCom Bhd
- Touch Group Holdings Sdn Bhd
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Technavio reports cover the following key research areas:
- Detailed Analysis of Market Eco System
- Market favorability index
- Market opportunity by segments
- Analysis of drivers of price sensitivity
- Key purchase criteria
- Customer purchase basket
- Impact of drivers and Challenges
- Factors of differentiation
- Landscape disruption
- Key industry risks
- Market position of vendors
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