U.S. Business Fiber Penetration Reaches 46.2%

Growth spurred by expanded fiber installations and new building construction

BOSTON, MA, APRIL 14, 2016 – The U.S. Fiber Gap continued to narrow in 2015 as business fiber penetration in commercial buildings grew to 46.2%, according to latest research from Vertical Systems Group. This benchmark figure quantifies fiber-connected multi-tenant and company-owned buildings in the U.S. with twenty or more employees, which equates to more than two million individual business establishments. The Fiber Gap refers to the remaining ‘unlit’ commercial buildings without optical fiber facilities that readily connect to business network services.

“Fiber penetration increased in 2015 as network operators targeted greenfield metro areas and mid-size multi-tenant buildings for new installations. Fiber access to network services is additionally being pre-built into nearly every new commercial building across the U.S.,” said Rosemary Cochran, principal at Vertical Systems Group. “Business customers want ready accessibility to fiber-based services for the capacity and scalability necessary to future-proof their networks. Consequently, a top competitive differentiator for both wholesale and retail service providers is the geographic reach of their on-net fiber footprints.”

Fiber is the most widely deployed access technology for delivery of Carrier Ethernet services in the U.S. Fiber is also increasingly implemented to support higher speed Hybrid VPNs, Cloud and Internet connectivity, mobile traffic aggregation and emerging SDN-enabled Dynamic Network Connectivity Services (DNCS).

Comprehensive analysis and quantification of U.S. Business Fiber penetration is available now exclusively through the @Fiber research track of Vertical Systems Group’s ENS (Emerging Networks Service). Research content covers a full update for 2015 plus historical data for the period 2004 through 2015. ENS Research Topics include an analysis of current fiber trends, fiber penetration rates by customer segment (Large Enterprise and SMB) and detailed statistics for four building size segments (20-50 employees, 51-100 employees, 101-250 employees, >250 employees). Contact us for subscription information and pricing.

Vertical Systems Group’s ENS Research Programs feature web-based access to hundreds of research topics, plus analyst support for your ad hoc requests or consultations. As a comprehensive resource for business or product planning, ENS covers enterprise customer migration across all broadband network services to provide you with more defensible analysis as compared to discrete market forecasts. Research Tracks include @Ethernet, @Access, @Dedicated IP VPNs, @Fiber, @Dynamic Network Connectivity Services, @Private Lines, @Frame Relay, @ATM, @STATFlash, @Insight and more. Contact us for subscription information and pricing, or to schedule an ENS demo.

Vertical Systems Group is recognized worldwide as a leading market research and strategic consulting firm specializing in defensible quantification of the networking industry. For more information see www.verticalsystems.com and follow us on Twitter. To speak to an analyst at Vertical Systems Group, please contact us.