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This report focuses on the datacom market for optical components. It is an in-depth analysis of how the ICPs are driving the market and what products need to be addressed. It presents highlights of Ovum’s six-year forecast along with recommendations for suppliers.


  • Even though the short-term market dynamics are in flux, demand for 100G-and-above datacom transceivers remains high. Sales of these products are expected to grow from $1.1bn in 2018 to $4.1bn in 2024, a six-year CAGR of 25%, and they represent the largest portion of the market at nearly 59% of the total in 2018 and 89% in 2024.

Features and Benefits

  • This research assesses the datacom market and identifies the drivers that will move it forward. It evaluates the current market dynamics.
  • Six-year forecasts identify the optical transceiver variants that will be successful in the market and those that will be in decline.

Key questions answered

  • What are the drivers enabling the datacom market for the next six years? How will these drivers be implemented in solutions to the market?
  • What optical transceiver variants will win in the market? How does optical reach play into what specific products are developed?

Table of contents


  • In brief
  • Ovum view

Forecast summary

  • The global datacom transceiver market will exceed $4.4bn by 2024

Market forecast drivers and barriers

  • The cloud market: still a strong driver
  • ICP capex continues to accelerate

Product group forecasts

  • A closer look at 400G for datacom

Market scenarios and warning signs

  • The long-term growth prospects of datacom products remain strong
  • Warning signs


  • Methodology


  • Methodology
  • Further reading
  • Author