Market research firm RVA LLC predicts in a report released today that direct investment in North American fiber to the home (FTTH) deployment will reach $4.7 billion annually by 2017. Altogether, the market will be worth $18 billion across the next five years, RVA asserts. Meanwhile, operators will see FTTH services revenues grow to $4 billion by 2017, almost half of the cumulative $9 billion North American service providers will see over the same fiber-year period.
The report, North American Fiber to the Home and Advanced Broadband Review and Forecast to 2017, tracks both FTTH deployments and consumer demand for high-bandwidth services. The report states that deployment growth will continue over the next five years despite the wrap-up of the ARRA broadband stimulus program, the evolution of the FCC’s Universal Service program to the Connect America Fund, and potential continuation of past economic uncertainties. Market expansion will come via what an RVA press release described as “a diverse group of small to large providers” who will supplant Verizon as the primary market catalysts. Meanwhile, the deployment focus will shift from overbuilds to greenfield applications over the five-year forecast period, RVA says.
On the user end of the equation, RVA also expects the number of subscribers for high-bandwidth services ranging to the 1-Gbps will increase rapidly. These high-bandwidth users will create an important market for for application, software, and programming developers.
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