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Technical Insight

Free space optics firms face demand surge (Market News)

Free space optical technologies are expected to result in a $1 billion market early in 2003. According to Allied Business Intelligence (ABI), after more than a decade of low growth, free space optical vendors will face an onslaught in demand. Free space optics employs transceivers to send modulated data through the atmosphere, relying on line of sight to make connections between hubs and customer premises. "A major shift is underway in the free space optical market," says Andy Fuertes, ABI s VP of Communications Technologies. "While these technologies were used for years in niche applications, they re ready for the delivery of broadband capabilities in mainstream carrier networks." Deployments are expected to be in urban environments, a market the technology will share with LMDS. Traditional applications are also expected to grow, but the carrier/access market will overshadow all other segments of the market within five years. "The leading applications for free space optics in 2000 were wireless bridges," adds Fuertes. "However, in 2005, carrier/access applications are expected to account for over 70% of the market." (see ) "Free Space Optics: Technologies and Opportunities in the Carrier Class Network" is available from ABI see "www.alliedworld.com".
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