Cable Industry Market Analysis- Size, Top Player, Segmentation and Trends

According to a recent study, the global cable market size was approximately $145 billion in 2022 and is projected to grow at a CAGR of 6.2% from 2023 to 2030, reaching over $225 billion.

According to a recent study, the global cable market size was approximately $145 billion in 2022 and is projected to grow at a CAGR of 6.2% from 2023 to 2030, reaching over $225 billion.Market Demand Drivers for cable products include

• Rising internet & mobile data usage requiring network build outs.
• Continued growth in construction of residential and commercial buildings.
• Investments in upgrading ageing electrical grid infrastructure.
• Increasing renewable energy projects requiring cable connections.
• Proliferation of internet-connected devices and need for robust data cabling.

Recent Industry Developments

• Major cable companies are rapidly deploying fiber-optic and 5G networks to offer multi-gigabit internet speeds.
• New subsea cable projects are underway to boost global internet bandwidth.
• Aluminium cables are gaining share versus copper for some applications due to lower costs.
• Vendors are innovating with products like mini data centre cabling to enable edge computing.

Top Players in Cable Market Landscape

• Prysmian Group (11% share, $12B revenue): A global leader supplying energy, telecom, and fiber optic cables. Leveraging M&A and vertical integration strategy.
• Nexans (7% share, $7.5B rev): Focuses on cables for building, utilities, industrial applications. Targeting high-value market segments.
• Sumitomo Electric (4% share, $4.2B rev cabling): Diverse portfolio includes auto wires plus info & energy cables. Strength in Asia markets.
• Southwire (3% share, $6.5B rev): A leading North American wire and cable maker investing in new capacity and products.
• General Cable (2% share, $3.7B rev): Recently acquired by Prysmian. Solid market position in North America.

Other major players include LS Cable & System, Furukawa Electric, Leoni, Fujikura, and Far East Cable.

Strategic Positioning 

Top vendors are employing strategies like

• Vertical integration into raw materials like aluminium and optical fiber.
• Developing higher performance cabling products (e.g. fire-resistant, underwater).
• Tailored solutions for focus industries like energy, telecoms, construction.
• Geographic expansion into emerging markets.
• Selective M&A to gain capabilities and cable industry.

Market Segmentation of Cable Industry

The Cable Market is majorly Segmented by these:

Power Cables – $52 billion (36% share)

• Overhead Transmission Cables: $18.5 billion
• Underground Distribution Cables: $21 billion
• Building Wires & Cables: $12.5 billion

Telecom Cables – $49 billion (34% share)

• Fiber Optic Cables: $18.2 billion
• Copper Twisted Pair Cables: $16.5 billion
• Coaxial Cables: $14.3 billion

Data Cables – $43.5 billion (30% share)

• Ethernet Cables: $19.8 billion
• USB Cables: $9.2 billion
• AV/Consumer Cables: $8 billion
• Other Data Cables: $6.5 billion

Challenges, Opportunities and Trends in the Cable Market

Challenges:

Raw Material Volatility – Cable manufacturing relies heavily on inputs like copper, aluminium, insulating materials and optical fiber. Prices for these raw materials can fluctuate considerably, impacting profitability.

Supply Chain Disruptions – The cable industry has intricate global supply chains that can be vulnerable to disruptions from events like the COVID-19 pandemic, geopolitical tensions, port congestion, etc.

Chinese Competition – Low-cost cable manufacturers, especially from China, provide aggressive pricing competition in certain segments like building wire and fiber optic cables.

Cyclical Demand – Much of the demand for cable products is tied to cyclical construction markets for residential, commercial and infrastructure projects which can decline during economic downturns.

Technical Disruption – Wireless technologies like 5G and satellite internet could theoretically make some telecom/data cabling obsolete over the very long-term, though deployment will take decades.

Opportunities:

5G & FTTx Deployments – Nationwide build outs of 5G mobile and fiber-to-the-home/premises networks are driving major new demand for fiber optic and high-speed data cables.

Electric Vehicle Growth – The proliferation of electric vehicles will require upgrading residential and public charging infrastructure, boosting demand for electrical and data cables.

Renewable Energy Projects – Major investments in solar, wind and other renewable electricity sources will necessitate installations of new transmission cables to connect to the grid.

Smart Building/City Demand – Next-generation buildings and smart city projects incorporate vast data cabling for connectivity, energy management, security and other applications.

Emerging Market Growth – There are tremendous long-term opportunities in developing markets like India to build out robust national cable-based communications and electrical networks.

Market Trends:

Aluminum Cable Adoption – With high copper prices, aluminium cabling solutions are gaining interest as a more affordable option for certain stationary power applications.

Miniaturisation of Data Cables – Ongoing innovations in miniaturised, high-density cabling to support edge computing and IoT deployments.

Subsea Cable Expansion – Major new subsea fiber optic cable initiatives are underway to upgrade global internet bandwidth between continents.

Shift to HVDC Transmission – There is a transition towards high voltage direct current (HVDC) cables for more efficient bulk transmission over very long distances.

Vertical Integration Moves – Major cable manufacturers are vertically integrating across raw materials like copper, aluminium and fiber optic strands to enhance supply and margins.

Advanced Cable Tech – Producers are investing in higher performance cable innovations like compact robotics cables, fire-resistant cables, underwater cables, etc.

Conclusion

Despite headwinds like raw material costs and competition, the cable market outlook remains robust through 2030 and beyond. Driven by megatrends like 5G/FTTx, electric vehicles, renewable energy and smart infrastructure, analysts project a $225 billion+ market by 2030 – representing 6-7% annual growth for this vital connectivity infrastructure.