Data Center Cabling Market

Data Center Cabling Market Size

The global data center cabling market was valued at USD 7.1 billion in 2024 and is projected to grow at a CAGR of 8.9% between 2025 and 2034. The escalating demand for Boosted, Reliable, and Scalable services have made Fiber Optics the most sought after communication medium to be used with Data Centers as well. Whereas, Copper Wires limited Availability and Bandwidth made them an outdated trend while fiber optics facilitate data centers fit for multiple applications such as AI, VR, and IoT which create a higher volume of data.

For instance, in October 2024, STL became the first company to launch an AI-DC portfolio; their solutions utilize machine learning in aiding data centers that utilize optical fibre for GPU-based applications requiring low latency and high bandwidth, which launched elevators into the market as well.

In addition, with the customer demand for faster data transfer and better cable deployment being on the rise, this is leading to an increase in the popularity of fiber optic cables in the data center market. Fiber optics helps provide low latency and a wide bandwidth while offering superior reliability that is a necessity when dealing with expansive amounts of data. Moreover, if we consider dense data center environments, fiber optic cables enable better management of space and organization while reducing cable congestion and improving airflow.

For example, in January 2024, Panduit unveiled the Wire Basket Cable Tray Routing System, which purportedly enhances cable management across multiple sectors, including data centers, interconnected buildings, and industrial plants. Its explicit function focuses on the appropriate routing of copper data cables, fiber optic cables, and power cables, which have ever-growing needs for strong and capable infrastructural features.

Data Center Cabling Market Trends

Wireless technologies such as 5G, cloud, and AI are evolving, which increases the need for low latency and high bandwidth cables concurrently with the growth of building infrastructure. In today’s data center environments, these cables allow for better data exchange, improved analytics, and an all-round better network performance. FS and LuxshareTech declared that they will keep collaborating on the provision of high-speed DAC cables for hyperscale data centers and high-performance computing (HPC) systems together starting November 2024. The collaboration focuses on meeting the high-bandwidth, low-latency requirements of modern-day computing and data center infrastructure.

Due to the need for complex cabling systems, which necessitate constant upgrades and repairs, the high cost of equipment and skilled labor for both the repair and construction of a data center can drastically impact the bottom line. Moreover, there are often integration difficulties stemming from the new cabling networks to legacy systems. Older systems were not designed to be compatible with high-speed networks, so the performance of such equipment is severely limited, leading to significant mismatches between traditional systems and new high-performance networks. All these issues will affect the technical approaches of data centers, preventing their easy scalability and contemporariness. These issues cumulatively require extensive reinvestment into the infrastructure to facilitate growth and expansion as well as cope with the rapidly changing technological landscape.

Data Center Cabling Market Analysis

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• Based on product, the market is segmented into copper cables, and fiber optic cables. In 2024, the fiber optic cables segment accounted for 59% of the market share and is expected to exceed USD 10 billion by 2034. The increase in demand for fiber optic cables is a direct result of the need data centers have for a more efficient way to transfer information.
  
• Transfer rates continue to increase with more users and connections, and data centers need to adapt and advance with new technology. Fiber optics provide a solution for the vast amounts of data that need to be transferred, as it has low latency, turns out to be more reliable than its counterparts, and is better suited for high bandwidth. They are the perfect candidate for increasing data volume. Moreover, the evolution from 400G to 800G networks, systems that are currently highly modernized, is one of the reasons why fiber optic solutions are gaining popularity.
  
• Furthermore, with the evolution of data centers, the demand for cables for data transfer that is equal to or greater than 400G also rises, making fiber optic cables a requirement. These cables allow for faster transfer rates, which enable more interconnectivity with servers, storage, and network equipment. There are also emerging trends regarding the use of fiber optic solutions, such as increasing the range of transfer to make data centers even more compact, allowing for a lot more space to be utilized, all the while ensuring the data rate is still equal to or greater than 400G.

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• Based on the end use, the data center cabling market is divided into hyperscale, colocation, enterprise, and cloud service providers. The hyperscale data centers segment held 35% of the market share in 2024. The large-scale requirements for data processing and storage that hyperscale data centers have are crucial factors in determining the efficiency of their operation, which is why there is a large demand for performance-enhancing cables.
  
• There is also a greater focus on how the space can be made more efficient, so with proper planning and construction, these facilities make use of advanced fiber optic and copper systems, ensuring high data transfer rates while also keeping the minimal cut. And because of the constantly changing technology, there is an emphasis on modular cabling solutions being needed.
  
• The large-scale integration of artificial intelligence and cloud computing within data centers is changing the way that cabling architectures function, resulting in new demands for data transfer. High-speed and low-latency infrastructure for cable management is required because cloud services, AI, and 5G networks have started to dominate the market and have created a surge for these tools.

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• In 2024, the North America region accounted for a data center cabling market share of 37% and is expected to exceed USD 6 billion by 2034. There has been a noticeable change towards eco-friendly approaches and practices, especially in the United States. Companies have begun to invest in energy-efficient resources in charge of transferring data and are placing emphasis on sustainable practices in order to meet standards placed by various authorities.
  
• The allocated budget for the advancement of cutting-edge data transfer systems has increased continuously as the demand grows, with 2021 being the highest. The expectation is that the demand for such services and tools will grow by 2027 exponentially, leading to an increase in investments towards industries specializing in advanced cable management systems.
  
• Within Europe, the surge for cloud services and edge computing ecosystems is affecting the decentralized transferring systems markets and pushing for more scalable and effective solutions across the entire region. The reason for this is the constant change within local policies and laws regarding data storage and access, creating a constant drive towards advancements.
  
• The expansion of cloud services and rapid localization across the Asia Pacific region has led to a huge dependence on high-velocity, dependable cabling systems. The establishment of 5G and other IoT networks has also significantly aided this growth. Furthermore, the countries in the region are investing considerable resources in the development of smarter cities alongside edge computing systems that require flexible and scalable cables to accommodate this constant growth on multiple fronts.
  

Data Center Cabling Market Share

• Commscope, Corning, and Legrand collectively held a substantial market share of 16% in the data center cabling industry in 2024. Corning, Commscope, and Legrand have established a healthy degree of competitiveness in high-speed cables for data centers and copper cables while also providing exclusive optical fibers. A key aspect of their products has been high energy efficiency, speed, and extended service capacity. These firms hold a good position as they have much innovation in hand based on extensive research while maintaining their competitive positions.
  
• Based on the extensive range Legrand, Corning, and Commscope provide, it can be seen why there is such healthy competition in place. A major innovation is the introduction of more speed into data centers. This is the basis of Legrand’s, Corning’s, and CommScope’s strategy, as these guarantees help out with the areas of global distribution, sustainability, and innovation.
  

Data Center Cabling Market Companies

Major players operating in the data center cabling industry are:

• Advantech
• AFL
• Belden
• Commscope
• Corning
• Furukawa Electric
• Legrand
• Leviton
• Panduit
• Siemon
• TE Connectivity
  

The data center cabling industry involves leading players directing their efforts towards operational efficiency, vertical scalability, and structural versatility in relation to the modern data centers' expectations. The manufacturers focus on the high-performance cabling systems which support an increased data transfer, low latency, and a high bandwidth to respond to the cloud growth, edge computing and AI applications.

The firms focus on modular and future-ready styles, which facilitate easy upgrading and interfacing with new technologies. Trends towards sustainability have a big impact on the product life cycle and design service, and use of green materials and energy-saving manufacturing has been on a rise in importance. Also, the companies focus on more advanced cable organization systems to cut down on idle time and increase productivity. Working with data center owners and IT infrastructure vendors helps deliver such solutions that suit the needs of a particular industry and enhance the competitive position and growth of the company.

Data Center Cabling Industry News

• In December 2024, Legrand grabbed Power Bus Way, a Toronto-based custom-tailored solutions provider for cable bus systems for data centers, industrial sites, and major construction projects. This supports Legrand’s long-term strategy of dealing with the increasing needs for digital infrastructure as well as tackling rampant power demands due to proliferation of Artificial Intelligence (AI) technologies.
  
• In February 2024, CommScope launched SYSTIMAX 2.0 portfolio bringing along new generation advanced cable systems for building and data center interconnectivity. The main improvements comprise setup of GigaSPEED XL5 used to facilitate the changeover of copper cables from one Gbps to ten Gbps and VisiPORT which is a managed port monitoring device for copper and fiber connectors.
  

The data center cabling market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue ($Bn) from 2021 to 2034, for the following segments:

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Market, By Product

• Copper cables
• Fiber optic cables

Market, By Wire Category

• 5E
• 6
• 6A
• 7
• Others

Market, By Component

• Cables
• Connectors
• Accessories
• Others

Market, By End Use

• Hyperscale data center
• Colocation data center
• Enterprise data centers
• Cloud service providers

Market, By Application

• Power distribution
• Data transfer and networking
• Cable management and organization

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
  • Nordics
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • ANZ
  • Southeast Asia
• Latin America
  • Brazil
  • Mexico
  • Argentina
• MEA
  • UAE
  • Saudi Arabia
  • South Africa