Ovum is projecting five percent CAGR growth out to 2017 in the optical networking equipment market, to an annual value of $US20b, driven largely by the bandwidth demands of a myriad new data centres being built around the world. According to Ian Redpath, principal analyst in Ovum's Network Infrastructure practice. "The data centres are being placed in brand new locations, creating brand new optical networking demands. For example, the new Facebook data centre at Lulea, Sweden, near the Arctic Circle, will require terabits of bandwidth."
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