Technology

G.fast Technology Investment and Adoption Market – Advanced and Economical Way to Complement and Accelerate Fiber to Home (FTTH) Deployments

G.fast Technology Investment and Adoption Market – Overview

The ongoing trend of digitization across the world is significantly driving the telecommunication industry. The number of mobile subscribers and internet users is increasing exponentially. Smart city initiatives leveraging platforms for IoT applications and IoT penetration in daily life is creating the need for high speed internet or ultrafast broadband services. There are two major technologies for Ultrafast broadband services, namely fiber to the premise (FTTP) and G.fast.

G.fast is a protocol standard of digital subscriber line (DSL) technology. Using G.fast technology, telecom operators provide digital communication platforms and services to their customers. G.fast is suitable for local loops shorter than 500 meters. The letter G in G.fast is the abbreviation for International Telecommunication Union (ITU) G series of recommendations, and fast stands for “fast broadband access.” G.fast technology features gigabit and multi-gigabit speeds over conventional copper telephone lines. G.fast technology gives service providers an advanced and economical way to complement and accelerate fiber to the home (FTTH) deployments.

G.fast Technology Investment and Adoption Market – Drivers and Restraints

Companies in the telecommunications industry are deploying superfast technology since the last decade. Leading players are preparing themselves for the next phase of speed requirements. Need for high speed broadband is significantly increasing yearly; it is witnessing a growth of over 30%-40% each year. Market leaders of G.fast technology are remarkably investing in G.fast technology to penetrate the end user markets. For instance, in October 2016, Switzerland based major telecommunications services provider Swisscom launched G.fast in Switzerland. Moreover, Swisscom has partnered with Huawei for G.fast micro-nodes digital supplier line access multiplexers (DSLAMs) installation. In 2016, CenturyLink, Inc, a U.S. based telecommunication company deployed G.fast technology in over 800 apartments. Since late 2017, Nokia Corporation and Frontier Communications are looking to deploy G.fast technology to provide ultra-speed broadband services to residential apartments and customers living in other multi-dwelling units (MDUs) in the U.S. state of Connecticut. Moreover, since 2017, M-net Telekommunikations GmbH, a German operator is launching G.fast services in Munich. AT&T is expected to launch G.fast services in 22 metros in the U.S. market. The popular G.fast deployment model used by market leaders includes customer premises equipment (CPE) and distribution point unit (DPU). Companies are majorly focusing on commercial and residential use cases for G.fast technology.

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Spending and investment for G.fast technology is expected to increase over the forecast period. Competitive environment among broadband service providers and efforts to provide advanced and effective solutions in end use markets is anticipated to boost G.fast technology adoption in the near future. Furthermore, growing need for ultrafast internet and broadband services are driving G.fast Technology Investment and Adoption Market. However, lack of awareness and absence of required infrastructure is expected to slow down G.fast technology adoption. Greater cost-effectiveness and scalability of the technology is anticipated to create ample opportunities during 2018 – 2026. Till 2016, globally, G.fast technology is well penetrated in the U.S. Presence of major internet service providers such as Verizon and AT&T across North America is significantly contributing to G.fast technology deployment. These players are testing G.fast technology to augment the broadband speed up to 1 Gbps with the help of existing copper infrastructure. Across the geographic regions, North America is estimated to experience higher adoption of G.fast technology.

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