Optical fiber communication
Optical fiber can be used as a medium for telecommunication and networking because it is flexible and can be bundled as cables. It is especially advantageous for long-distance communications, because light propagates through the fiber with little attenuation compared to electrical cables. This allows long distances to be spanned with few repeaters. Additionally, the per-channel light signals propagating in the fiber can be modulated at rates as high as 111 Gb/s, although 10 or 40 Gb/s is typical in deployed systems. Each fiber can carry many independent channels, each using a different wavelength of light (wavelength-division multiplexing (WDM)). The net data rate (data rate without overhead bytes) per fiber is the per-channel data rate reduced by the FEC overhead, multiplied by the number of channels (usually up to 80 in commercial dense WDM systems as of 2008).

Over short distances, such as networking within a building, fiber saves space in cable ducts because a single fiber can carry much more data than a single electrical cable. Fiber is also immune to electrical interference; there is no cross-talk between signals in different cables and no pickup of environmental noise. Non-armored fiber cables do not conduct electricity, which makes fiber a good solution for protecting communications equipment located in high voltage environments such as power generation facilities, or metal communication structures prone to lightning strikes. They can also be used in environments where explosive fumes are present, without danger of ignition. Wiretapping is more difficult compared to electrical connections, and there are concentric dual core fibers that are said to be tap-proof.

Although fibers can be made out of transparent plastic, glass, or a combination of the two, the fibers used in long-distance telecommunications applications are always glass, because of the lower optical attenuation. Both multi-mode and single-mode fibers are used in communications, with multi-mode fiber used mostly for short distances (up to 550 m), and single-mode fiber used for longer distance links. Because of the tighter tolerances required to couple light into and between single-mode fibers (core diameter about 10 micrometers), single-mode transmitters, receivers, amplifiers and other components are generally more expensive than multi-mode components.

Fiber optic sensors
Fibers have many uses in remote sensing. In some applications, the sensor is itself an optical fiber. In other cases, fiber is used to connect a non-fiberoptic sensor to a measurement system. Depending on the application, fiber may be used because of its small size, or the fact that no electrical power is needed at the remote location, or because many sensors can be multiplexed along the length of a fiber by using different wavelengths of light for each sensor, or by sensing the time delay as light passes along the fiber through each sensor. Time delay can be determined using a device such as an optical time-domain reflectometer.

Optical fibers can be used as sensors to measure strain, temperature, pressure and other quantities by modifying a fiber so that the quantity to be measured modulates the intensity, phase, polarization, wavelength or transit time of light in the fiber. Sensors that vary the intensity of light are the simplest, since only a simple source and detector are required. A particularly useful feature of such fiber optic sensors is that they can, if required, provide distributed sensing over distances of up to one meter.

Extrinsic fiber optic sensors use an optical fiber cable, normally a multimode one, to transmit modulated light from either a non-fiber optical sensor, or an electronic sensor connected to an optical transmitter. A major benefit of extrinsic sensors is their ability to reach places which are otherwise inaccessible. An example is the measurement of temperature inside aircraft jet engines by using a fiber to transmit radiation into a radiation pyrometer located outside the engine. Extrinsic sensors can also be used in the same way to measure the internal temperature of electrical transformers, where the extreme electromagnetic fields present make other measurement techniques impossible. Extrinsic sensors are used to measure vibration, rotation, displacement, velocity, acceleration, torque, and twisting.

Other uses of optical fibers
Fibers are widely used in illumination applications. They are used as light guides in medical and other applications where bright light needs to be shone on a target without a clear line-of-sight path. In some buildings, optical fibers are used to route sunlight from the roof to other parts of the building (see non-imaging optics). Optical fiber illumination is also used for decorative applications, including signs, art, and artificial Christmas trees. Swarovski boutiques use optical fibers to illuminate their crystal showcases from many different angles while only employing one light source. Optical fiber is an intrinsic part of the light-transmitting concrete building product, LiTraCon.

Optical fiber is also used in imaging optics. A coherent bundle of fibers is used, sometimes along with lenses, for a long, thin imaging device called an endoscope, which is used to view objects through a small hole. Medical endoscopes are used for minimally invasive exploratory or surgical procedures (endoscopy). Industrial endoscopes (see fiberscope or borescope) are used for inspecting anything hard to reach, such as jet engine interiors.

An optical fiber doped with certain rare-earth elements such as erbium can be used as the gain medium of a laser or optical amplifier. Rare-earth doped optical fibers can be used to provide signal amplification by splicing a short section of doped fiber into a regular (undoped) optical fiber line. The doped fiber is optically pumped with a second laser wavelength that is coupled into the line in addition to the signal wave. Both wavelengths of light are transmitted through the doped fiber, which transfers energy from the second pump wavelength to the signal wave. The process that causes the amplification is stimulated emission.

Optical fibers doped with a wavelength shifter are used to collect scintillation light in physics experiments.

Optical fiber can be used to supply a low level of power (around one watt) to electronics situated in a difficult electrical environment. Examples of this are electronics in high-powered antenna elements and measurement devices used in high voltage transmission equipment.