Fiber-Optic Networks in US Regain Some Glow – Data Traffic Turns Regional Operators Into Buyout Targets

After the telecom bubble burst a decade ago, fiber was a dirty word.Now, the fiber-optic network business is enjoying a resurgence, particularly for metro fiber, the high-capacity lines that connect a city’s office buildings, data centers and cellular towers to the Internet.There have been 14 acquisitions in the industry this year alone and 45 since the fiber market began its turnaround in 2006, according to investment bank Cowen & Co.

Data-heavy devices like Apple Inc.’s iPhone and iPad have put growing strain on cellular networks, particularly the connections between cell towers and land-based networks, where bottlenecks often form.Meanwhile, Web video services, such as those offered by Netflix Inc., and so-called cloud computing, in which data are stored off site and accessed via the Internet, are placing a premium on fast connections.To read this Wall Street Journal report in full, see:
online.wsj.com/article/SB10001424052970204467204576048110913769584.html

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