The U.S. fiber-to-the-home (FTTH) market reached a record 11.8 million new homes passed in 2025, bringing the national total to 98.3 million passings. According to the annual Fiber Deployment Survey released December 16, 2025, fiber now reaches over 60 percent of U.S. households and is on a trajectory to surpass cable as the dominant broadband delivery platform by 2028.
The findings, presented by the Fiber Broadband Association (FBA) and conducted by RVA LLC Market Research & Consulting (RVA), were detailed in a statement and subsequent industry briefing on December 17. The report highlights that while 60 million potential first-time fiber passings remain, the market is shifting toward intensified competition, with 84 percent of potential secondary and tertiary passings still untapped.
Market Dynamics and Public Investment
The acceleration in deployment comes despite ongoing administrative and regulatory challenges associated with federal funding programs. Government initiatives, including the Broadband Equity, Access, and Deployment (BEAD) program and the Rural Digital Opportunity Fund (RDOF), continue to serve as primary drivers for construction in underserved regions. As of December 2025, the National Telecommunications and Information Administration (NTIA) has approved final proposals for 37 out of 56 eligible states and territories, signaling a move toward the “last-mile” execution phase of the $42.45 billion BEAD program.
The survey also noted that consumer adoption is scaling alongside availability. Average “take rates”—the percentage of households with access that actually subscribe—climbed to 46.5 percent for primary passings. In markets where a secondary fiber provider enters, the total FTTH take rate typically increases to approximately 61 percent, suggesting that increased competition actively drives consumer adoption.
Regional and Emerging Sector Growth
The North American expansion extends into Canada, which recorded 14.5 million fiber passings, covering nearly 75 percent of Canadian households. Beyond residential broadband, the FBA identified several emerging segments as critical drivers for long-term fiber demand, including:
- Hyperscale data centers and AI infrastructure
- 5G small cell and tower backhaul
- Smart grid and energy infrastructure
- Quantum networking and fiber sensing
“We’re at a major inflection point in the U.S. broadband market,” said Mike Render, founder and CEO at RVA. “Competition among fiber providers has intensified, and the data shows that customer experience is now a top defining factor separating market leaders from the rest. Consumers consistently rate fiber highest across every performance category and that preference is accelerating adoption.”
Timeline for 2026 and Beyond
Looking ahead, the industry anticipates a further boost in capital expenditure (Capex) due to changes in federal tax law. The restoration of 100 percent bonus depreciation in 2026 is projected to fuel a 5–15 percent increase in FTTH Capex.
Deborah Kish, vice president of research and workforce development at the FBA, noted that while deployment is accelerating, the role of fiber is expanding within the broader digital economy. The association expects sustained growth as operators work toward the 100 million passing milestone in early 2026.
