Data centre cable market to hit $18.81bn by 2032 as demand soars - report

A new forecast has predicted that the data centre cable market will be worth US$18.81 billion by 2032.

According to a new report by MarketsandMarkets, the market will increase to this figure from $12.24 billion in 2026 and is expected to grow at a CAGR of 7.4% over the next five to six years.

Data centre cables enable reliable, high-speed data transmission and communication within and between data centre facilities. Given the rate of digital transformation on account of AI and cloud compute demand, these cables are touted as high-performance connectivity solutions necessary to support the transfer of large volumes of data across critical network infrastructure.

These cables connect servers, storage systems, switches, routers and other networking equipment – all while ensuring low latency, high-bandwidth and operational efficiency. Data centre cable solutions specifically include fibre optic and copper cables that are designed to support evolving requirements for hyperscale data centres, AI, high-performance computing (HPC) and edge computing.

Markets and Markets found that growth in this market is being driven by rising demand for high-speed connectivity, low-latency data transmission and scalable network infrastructure across hyperscale, colocation and enterprise data centres.

“The rapid expansion of cloud computing, AI workloads, HPC and digital transformation initiatives is accelerating the adoption of advanced optical fibre and high-speed copper cabling solutions worldwide,” Markets and Markets said. “Unlike conventional networking cables, data centre cables are engineered for high-density deployments, superior signal integrity, scalability and energy-efficient operation within complex IT environments.”

By cable type, optical fibre cables held the largest share (71.8%) of the data centre cable market in 2025, the report said, with hyperscale data centres making up the largest market share of 40.3%.

It also spotlighted the Asia-Pacific (APAC) region as expected to witness the highest CAGR of 9.1% in the data centre cable market during the forecast period, on account of rising cloud computing adoption and strong digital transformation initiatives suited to hyperscale data centres across the region.

“Rising internet penetration, growing AI and high-performance computing workloads and increasing investments by hyperscalers and colocation providers are significantly driving demand for advanced optical fibre and high-speed copper cabling infrastructure,” the report said.

“Additionally, rapid 5G deployment, expansion of edge data centres and supportive government initiatives for digital economy development are accelerating market growth.”

As major cloud service providers and hyperscalers continue to invest in large-scale facilities that require optical fibre and high-speed copper cabling, the market is expected to continue growing at a strong pace.

Likewise, increasing deployment of AI GPU clusters, along with rising data traffic, growing digital transformation initiatives and the expansion of colocation and cloud ecosystems, will also keep driving demand across the data centre industry.

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