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The optical transport equipment is set to increase at a 3% CAGR for the next five years, reaching US$17 billion ($24 billion) by 2027. During the five-year period, cumulative revenue is expected to hit at US$81 billion ($115 billion), according to market research firm Dell’Oro Group.

According to a recent forecast report by Dell’Oro Group, a source for market information about the telecommunications, networks, and data centre IT industries, demand for Optical Transport equipment is expected to increase to $18 billion by 2026.

VIDEO INTERVIEW: Mr McGuire might have advised graduate Dustin Hoffman to get into plastics back in the 1960s, but it's a good thing PacketLight's founders decided that fiber optical transport solutions were the ideal way to deliver our fantastically elastic present and an even more amazing future still before us.

Mr McGuire might have advised graduate Dustin Hoffman to get into plastics back in the 1960s, but it's a good thing PacketLight's founders decided that fiber optical transport solutions were the ideal way to deliver our fantastically elastic present and an even more amazing future still before us.

VENDOR ANNOUNCEMENT:  Buying network infrastructure from a carrier may be convenient, but often comes at a considerable cost, as it is many times accompanied by higher fees, complex to scale, and reliance on a third party for resolving technical issues.

VENDOR ANNOUNCEMENT:  Buying network infrastructure from a carrier may be convenient, but often comes at a considerable cost, as it is many times accompanied by higher fees, complex to scale, and reliance on a third party for resolving technical issues.

The increasing need for more bandwidth per port has means we have gone from 1G to 10G being normal, with 40G and 100G connections becoming essential to deal with rising data rates. Port capacity will continue to be tested with 200G and 400G fibre connectivity products set to hit the market in the coming years.

Telstra has launched a service for wholesale customers that gives them dedicated access to a wavelength across Telstra's optical fibre backhaul network. It is said to be ideal for ISPs needing to get traffic from their own points of presence to NBN Co's points of interconnect.

Telstra has upgraded its Sydney-Melbourne optical fibre network to operate with 40Gbps per wavelength, doubling capacity and says it will upgrade other major inter-city routes over the coming year.