Global Submarine Cables Market Set to Surge to $44.33 Billion by 2030, Driven by Offshore Wind Farms and High-Capacity Communication Needs – ResearchAndMarkets.com
DUBLIN–(BUSINESS WIRE)–The “Submarine Cables Market Size, Share & Trends Analysis Report By Application (Submarine Power Cables, Submarine Communication Cables), By Voltage, By End-user, By Offerings, By Component, By Region, And Segment Forecasts, 2023 – 2030” report has been added to ResearchAndMarkets.com’s offering.
The global submarine cables market is on track to reach a substantial valuation of USD 44.33 billion by the year 2030, exhibiting a strong Compound Annual Growth Rate (CAGR) of 5.9% from 2023 to 2030. This growth is fueled by a confluence of key factors, including increased investments in offshore wind farms, inter-country and island connections for enhanced power supply and communication, and the escalating investments in deep-water oil and gas drilling activities.
One of the primary drivers of market expansion is the heightened investment by Over-the-Top (OTT) companies in deploying high-capacity communication systems. Additionally, the growing need for High Voltage Direct Current (HVDC) underwater power cables is opening doors to numerous new opportunities, further propelling the submarine cable system market forward.
The ever-increasing internet and data traffic in regions such as the Asia-Pacific (APAC) are pivotal factors driving the growth of the submarine cables industry throughout the forecast period.
In densely populated regions like APAC, South America, and the Middle East and Africa (MEA), substantial investments in offshore wind power generation are actively driving the demand for submarine cables. Factors such as the rising internet penetration, collaborations with tier-1 vendors, and the increased bandwidth demand due to the advent of 5G technology are also contributing to the surging demand for submarine cables.
Governments worldwide are committed to boosting electricity generation from non-fossil fuel-based sources, further underscoring the importance of submarine cables. Although high installation costs and the challenges of maintaining deep-water cables have posed adoption hurdles, the need for maintenance services is exacerbated by threats like fishing hooks, cyclones, ships, and cruises. The choice of proper installation techniques, materials, and cable length will be critical in driving overall market growth, as any faults in submarine cables can incur significant repair and re-deployment costs.
As countries worldwide transition towards cleaner energy mixes, the integration of offshore wind power into onshore grid infrastructure becomes paramount. Array and export cables play a pivotal role in this integration by transmitting electricity from offshore grids to onshore grids, supporting renewable energy goals and reducing reliance on fossil fuel-based power generation. Technological advancements, economies of scale, and streamlined installation processes are contributing to cost reductions, making offshore wind projects increasingly economically viable, which in turn, is driving demand for array and export cables.
The role of OTT providers is central to the development of the submarine cables industry. These companies own, manage, and fund their submarine cable infrastructure. Prominent OTT providers such as Facebook, Google, Microsoft, and Amazon have substantially reshaped the overall market landscape.
Key Companies Mentioned in the Report:
- Ale International, Ale Usa Inc.
- Subcom, LLC
- Nec Corporation
- Prysmian S.P.A
- Nexans
- Google LLC
- Amazon.Com, Inc.
- Microsoft
- Nkt A/S
- Ztt
Submarine Cables Market Report Highlights
The submarine cables industry achieved a valuation of USD 27.57 billion in 2022 and is poised to grow at a CAGR of 5.9% from 2023 to 2030. Notably, the offshore wind power generation segment emerged as the largest segment in 2022, with an estimated revenue exceeding USD 11.72 billion by 2030. The Asia-Pacific region secured the largest share of the submarine power cables industry in 2022. The region’s growing offshore wind farm projects, augmented investments by OTT providers, and surging data traffic are expected to be key drivers propelling market growth.
Key Topics Covered:
Chapter 1 Methodology & Scope
Chapter 2 Executive Summary
Chapter 3 Market Variables, Trends, & Scope
3.1 Penetration and Growth Prospect Mapping
3.2 Value Chain Analysis
3.3 Market Dynamics
3.3.1 Market Drivers Analysis
3.3.1.1 Increasing investments by the OTT providers
3.3.1.2 Growing Demand for Inter – Country and Island Power Connections
3.3.1.3 Increasing Number of Offshore Wind Farms
3.3.2 Market Restraint Analysis
3.3.2.1 Complex Repairing Procedure for Deepwater Power Cable Links
3.4 Submarine Cables Market: PEST analysis
3.5 Porter’s Five Forces Analysis
3.6 Submarine Cables Key Company Analysis, 2020
Chapter 4 Submarine Cables Market: By Application
Chapter 5 Submarine Power Cables Market: By Voltage
Chapter 6 Submarine Power Cables Market: By End-user
Chapter 7 Submarine Communication Cables Market: By Component
Chapter 8 Submarine Communication Cables Market: By Offerings
Chapter 9 Submarine Communication Cables Market: By Region
Chapter 10 Submarine Power Cables: Regional Analysis
Chapter 11 Competitive Landscape
For more information about this report visit https://www.researchandmarkets.com/r/pxws1k
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