PUBLISHER: Prescient & Strategic Intelligence | PRODUCT CODE: 1803248
PUBLISHER: Prescient & Strategic Intelligence | PRODUCT CODE: 1803248
The U.S. dark fiber network market reached USD 1.1 billion in 2024, and is projected to grow to USD 2.4 billion by 2032, at a CAGR of 10.6% from 2025 to 2032. This growth is propelled by sharply rising demand for high-bandwidth, ultra-low latency infrastructure to support 5G telecommunications, cloud services, data center deployments, enterprise AI, and IoT applications. Legacy fibers-installed during the boom years of the 1990s and early 2000s-are being revived via leasing to meet skyrocketing network capacity needs.
Major technology and telecom providers are increasingly turning to dark fiber to achieve private, scalable, and secure connectivity, while metro and long-haul expansions align with surging traffic from video streaming and remote working.
Key Insights
Fiber Type Segmentation: Multi-mode fiber dominates with approximately 70% market share in 2024, and it leads in growth at around 11.1% CAGR, favored for short-to-medium haul enterprise and data center applications.
Material Usage: Glass fiber accounts for about 65% of the market in 2024, and also leads in growth-reflecting its superior transmission performance and scalability.
Network Type Trends: Long-haul deployment makes up around 70% market share in 2024, expanding fastest at an expected 11.5% CAGR, driven by backbone and intercity infrastructure demand.
Application Highlight: The IT & Telecom sector comprises the largest application segment at ~35% share, and is poised for strongest growth amid escalating needs for 5G backhaul, edge computing, and enterprise-grade private networks.
Regional Outlook: The Western U.S. holds the largest market share (about 40% in 2024) and is expected to grow fastest over the forecast period, owing to dense data center activity and early fiber infrastructure investments.
Competitive Landscape: The market remains fragmented-key players include AT&T, Verizon, Comcast, Lumen Technologies, Zayo Group, Consolidated Communications, and regional fiber providers across metro areas.
Key Drivers: The rise of 5G networks, AI and cloud-driven traffic growth, and demand for bandwidth-intensive enterprise applications are major growth catalysts. Dark fiber offers exclusive control, scalability, and reduced latency relative to traditional lit services.
Market Dynamics: Organizations are leveraging dark fiber for redundancy, disaster recovery, and private networking beyond shared infrastructure-especially in high-risk or latency-sensitive sectors like finance, healthcare, and aerospace.
Growth Opportunities: Smart-city deployment, urban densification, edge computing, and hyperscale data center expansion present high-value growth areas. Regional fiber leases are favored for high-speed, low-latency enterprise connectivity.
Future Potential: Continued investment into long-haul and metro fiber, combined with evolving enterprise telecom needs, ensures dark fiber remains a strategic asset in the digital infrastructure roadmap.