Global Submarine Cable Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Global Submarine Cable Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Submarine cables are referred to as any type of cables that are laid along the bottom of a water body. These cables connect continents all over the world and rely on stations based on land to carry telecommunications and power signals. Submarine cables use optic fiber technology to carry digital data for telephone, internet, and private data. The implantation of submarine cables has numerous advantages over satellite communications. For instance, they are more durable, cheaper, and reliable than satellite communication. Use of submarine cables has enhanced globalization and international connectivity, owing to the speed with which information can be exchanged all over the world. Submarine cables are important international assets for news agencies, trading & shipping companies, governments & their armed forces, and public. A single submarine cable is capable of carrying millions of telephonic data accompanied by internet and video data. International system across the world is dependent on security of the submarine cable.

Market Overview:

The latest research study on the global Submarine Cable market finds that the global Submarine Cable market reached a value of USD 4131.47 million in 2022. It’s expected that the market will achieve USD 3601.96 million by 2028, exhibiting a CAGR of -2.26% during the forecast period.

Influence of COVID-19 Outbreak on Submarine Cable Industry Development

Affect the deployment of submarine cables
The COVID-19 pandemic has impacted the global submarine cable market. Several countries have been affected by COVID-19 and governments have announced nationwide lockdowns. Shut-down of some cable factories by submarine cable suppliers have push back the deployment of new submarine cable systems, owing to the present pandemic situation. Shutdown of cable manufacturing factories due to social distancing are not likely to have immediate negative repercussions on global connectivity, but can push back the deployment of new systems. It is very challenging to get staffs on and off ships that are conducting surveys and studies for upcoming cables or laying new ones. One of the factors hampering global connectivity is the delay in carrying out cable repairs amid the pandemic.
Maintenance and Repairs
One of the biggest risks to ensuring global connectivity in COVID-19 is delays to cable repairs. Cable faults occur frequently around the world, and a fleet of dedicated vessels repair them as quickly as possible. There's already been several cable repairs made this year. Repairing a cable requires receiving permits from governments to access ports and for ships to perform repairs in territorial waters. Delays in permits were already an issue facing the industry in some countries prior to COVID-19. With the importance of connectivity at its pinnacle, it's more vital than ever for governments to expedite permits to ensure swift repairs.

Strength

The increasing reliability on the submarine cable is expected to drive the global submarine cable market in the coming years. A submarine cable is a cable laid on the sea bed between land-based stations to carry telecommunication signals across stretches of ocean and sea. They are responsible for carrying the majority of the world's data. With cables becoming increasingly necessary to interlink countries, the growth of the submarine market is expected to show significant growth in the upcoming years. These have become an absolute necessity of the modern world because they have great bandwidth and power and low cost per bit transmission in comparison with other alternatives of transmission. This is the main driving factor that is helping in this market growth. They are valued not only by the businesses that are building and operating them for profit but also by national government across the globe. Most of the economies consider submarine cables as a vital component of the economy and have set regulations to protect it from threats. For instance, the Australian Communications and Media Authority (ACMA) has created safety zones that prohibit activities that can damage these cables, which are linked through Australia & Rest of the World. In addition, it legalizes the installation of new submarine cables projects.

Increasing investments in offshore wind farms, increasing data traffic to suffice the requirements are the major factors driving the market. The submarine cables are widely used for power and communication applications. The submarine power cables are used for power transmission to the oil rigs, carry power generated from offshore wind farms to the power station, and inter-country and island connections. Submarine communication cables are used for inter-region/country communications. These communication cables help in faster communication and carry a large amount of data traffic across the globe. The efficient power transmission and distribution systems from renewable energy sources and the growth of offshore wind farms are expected to fuel the overall submarine cables market growth. For instance, the Government of Japan is constructing a floating wind farm, 12 miles away from the sea coast, and is expected to install 140 floating wind turbines by 2020. Growing product demand has led the manufacturers to actively participate in the installation & commissioning, upgrades, and maintenance of the submarine cables. For instance, in February 2020, The Europe India Gateway (EIG) submarine cable system has been upgraded to fast-track and reinforce the connectivity amongst businesses in Europe, Middle East, and India by Ciena Corp.

Region Overview:

Asia Pacific had the highest growth rate of all regions.

Company Overview:

Prysmian Group ,Nexans ,Sumitomo Electric Industries ,General Cable and Zhongtian Technology are the five key players in the global Submarine Cable market. These companies have shown consistent growth in revenue, larger volumes of sales and a prominent presence in terms of share in the global Submarine Cable market in the past 5 years.

Prysmian S.p.A. is an Italian company with headquarters in Milan, specialising in the production of electrical cable for use in the energy and telecom sectors and for optical fibres. Prysmian is present in North America with 23 plants, 48 in Europe, 13 in LATAM, 7 MEAT, 13 APAC. It is the world leader in the production of cables for wind farms. The company is listed on the Milan Stock Exchange in the FTSE MIB index. On 4 December 2017, it took over 100% of the General Cable group in the US, to then complete the merger by incorporation the following year, after the antitrust approval by the respective countries.

Nexans S.A. is a global company in the cable and optical fiber industry headquartered in Paris, France. The group is active in four main business areas: buildings and territories (construction, local infrastructure, smart cities / grids, e-mobility), high voltage and projects (offshore wind farms, subsea interconnections, land high voltage), data and telecoms (telecom networks, data transmission, FTTx, LAN cabling, hyperscale data centre solutions), industry and solutions (renewable energies, petroleum, railways and rolling stock, aeronautical and automation).

Segmentation Overview:

By type, Self-contained Oil-filled Cable segment accounted for the largest share of market in 2021.

Application Overview:

By application, the Long Distance Communication Network segment occupied the biggest share from 2017 to 2022.

Key Companies in the global Submarine Cable market covered in Chapter 3:

Zhongtian Technology
General Cable
Orient
Sumitomo Electric Industries
Prysmian Group
Nexans

In Chapter 4 and Chapter 14.2, on the basis of types, the Submarine Cable market from 2018 to 2029 is primarily split into:

Self-contained Oil-filled Cable
Extrusion Insulated Cables
Inflatable Cable

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Submarine Cable market from 2018 to 2029 covers:

Long Distance Communication Network
Power Transmission
Other

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)