During the initial days of the Internet, speed of data transmission emerged as a major issue in front of the industry. Digital subscriber line, or digital subscriber loop, commonly known as DSL, was one of the very first technologies to deliver significant broadband speeds over copper telephone lines. However, this did not mean that anyone with DSL was likely to enjoy a huge speed upgrade. With time and numerous upgrades later, the world was introduced to the advanced G-fast technology that is intended to facilitate both household and commercial sectors with high speed broadband access.
According to a recent report from WinterGreen Research, the market value of DSL and G-fast chips, which stood at US$939 million in 2013, is anticipated to reach US$4.7 billion by the end of 2020. Driven by high demand from businesses for high-speed broadband, the market for DSL and G-fast chips is likely to grow substantially between 2014 and 2020.
What is G-fast?
G-fast is a standard coined by the International Telecommunication Union. The nomenclature refers to hybrid fiber-and-copper networks, which delivers high-speed broadband by fiber cables close to the application target, and copper cables transport the signals the rest of the way. The use of fiber in the network topology has greatly advanced, however it is still not considered suitable due to its high installation price. G.fast networks have emerged as a more viable and cheaper option than fiber-to-home, because it reuses existing copper infrastructure to transport high-speed broadband. However, the technology is yet to match the speed exhibited by the fiber-only service, known as FITH.
Factors Impelling the Growth of the Global DSL and G-fast Chips Market
Supports Network Flexibility:
Apart from delivering high-speed broadband, modern businesses can also derive support for network flexibility from DSL and G-Fast technologies. Technology upgrades introduced in the last couple of years have enabled organizations and business institutions to reach customers on-the-go, which has increased the demand for DSL and G-Fast.
High Demand for Online Activity:
Globally, the demand for online activities including real-time online games, video conferencing, streaming music, high-definition movies and shows, etc., has considerably increased. This has in turn escalated the demand for high-speed broadband, which has propelled the global DSL and G-fast chips market.
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Penetrative and Cost-Effective:
The demand for DSL and G-fast chips is growing at a rapid pace especially in the commercial and industrial sectors. Businesses and commercial units encompassed within these sectors require high-speed broadband connections to expedite faster communication through video and voice streamlining. DSL technology and G-fast chips are the most cost-effective options that can significantly aid the broadband requirements across the aforementioned segment. Furthermore, the affordability of the technology has also enabled it to penetrate regions where television has failed to make a mark.
Cost Advantage over Modern Innovations
FITH, a major rival of DSL and G-fast chips technology, uses optical fiber from the epicenter of a building to transmit the broadband signals, which promises faster speed and better image quality. Both FITH and DSL offer high speeds and high refinement to consumers, however, the reasonable pricing structure of DSL gives it a competitive edge over FITH in the market.