Global shortage of fiber optic cables, prices more than double in 16 months

Fiber optic cable prices hit record lows in 2021, but since then there has been a great deal of demand from data centers and network providers. On the other hand, supply is in short supply and prices have more than doubled in just 16 months.

Global shortage of fiber optic cable threatens digital growth | Financial Times

Fiber optics cable prices soar and lead times stretch • The Register
https://www.theregister.com/2022/07/25/fiber_optic_price_lead_time_and_scarcity/

Global shortage of fiber optic cables leads to delays, price increases --DCD
https://www.datacenterdynamics.com/en/news/global-shortage-of-fiber-optic-cables-leads-to-delays-price-increases/

According to market research firm Cru Group, the price of fiber optic cables in March 2021 was a record low of $ 3.70 per km.

However, in the first half of 2022 alone, demand increased by 8.1% from the previous year, and the price rose to $ 6.30 (about 860 yen) in July 2022.

The reason for the price movement is that we do not have enough fiber optic cables to meet the demand. Due to the pandemic, one of the raw materials, helium, was shut down in Russia and the United States, and the supply shortage caused prices to rise to 135% in two years. Similarly, one of the materials, silicon tetrachloride, has also increased by up to 50%.

For small businesses, product lead times have increased from 20 weeks to over a year.

The Financial Times tells the story of Corning's CEO Wendell Weeks, the world's largest fiber optic cable maker, 'It's going to be tough for a while, but I'm sure it will survive.'