Underwater connectors help in joining subsea optical or electric circuits to facilitate smooth underwater communication. The need for underwater connectors has been rising at a rapid pace in the global offshore industry, due to their use across oil & gas, oceanography, ROVs/AUVs, and telecommunication industries. Furthermore, with increasing focus on renewable energy sources, the demand for underwater connectors is gradually increasing in offshore renewable energy fields.
Market Segments and Adoption
Transparency Market Research (TMR) shares its key insights on the global underwater connectors market. In terms of revenue, the global underwater connectors market is estimated to expand at a CAGR of ~ 4% during the forecast period, owing to numerous factors.
According to TMR, the ROVs(remotely operated vehicle) /AUVs (autonomous underwater vehicle) and military & defense application segments are estimated to outpace other application segments by 2027. Increasing use of underwater connectors in underwater military and defense vehicles and systems, along with their growing use in remotely operated and autonomous underwater vehicles in and around numerous regions, is the key reason for the rise in the demand for underwater connectors across the globe.
Furthermore, increasing worldwide military spending and growing adoption of ROVs led by the increasing demand for offshore energy and the rising number of offshore wells are expected to drive the global underwater connectors market from 2019 to 2027.
For instance, AUVs are increasingly being used for deep-water surveys. Moreover, a large number of AUVs are being used for sea line inspections, worldwide, and with the growing infrastructure and subsea pipeline networks, the adoption of AUVs is expected to increase. Increasing adoption of AUVs is projected to fuel the demand for underwater connectors during the forecast period.
In addition to this, the adoption of underwater connectors in oceanography and telecommunication applications is rising considerably, due to the increasing demand for data, worldwide. This is likely to drive the global underwater connectors market during the forecast period.
However, certain drawbacks of rigid-shell underwater connectors are likely to adversely impact the global underwater connectors market during the forecast period, as rigid-shell connectors can break as a result of variation in the pressure between the inner surface and the outer surface of the shell.
North America and Asia Pacific are estimated to present prominent growth to the underwater connectors market in the near future, owing to the strong presence of underwater connector manufacturers across these regions. Also, the increasing demand for production of oil in these regions is augmenting the underwater connectors market in these regions. Oceanographic activities are growing at a significant pace in Asia Pacific, especially across China, Japan, India, and South Korea, as this is a major industry for fish farming and aquaculture. This growth in oceanographic activities is fueling the demand for underwater connectors across the region.
The Middle East & Africa market is expected to witness moderate growth in the near future. However, the underwater connectors market in South America is projected to witness relatively low growth in the next few years, due to the economic uncertainty across major economies in the region, such as Brazil and Argentina.
Key manufacturers of underwater connectors are sharpening their competitive edges in the market to display synergies through close cooperation and collaborations in the areas of sales, marketing, and production. These manufacturers are also expanding through organic methods, such as increasing production capacity, so as to meet the increasing demand.
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