The global 5G infrastructure market accounted for a value of USD 714 million in 2019 and is projected to register growth at a CAGR of 60.9% during forecast period.
COVID-19 has impacted the 5G infrastructure market. The outbreak of corona virus has halted the progression of the 5G infrastructure in various countries. The lockdown has affected the timing of the 5G infrastructure standard finalization and various countries have postponed their 5G spectrum. The ongoing pandemic has adversely affected the numerous telecommunication operators and vendors in this business. The growth of 5G infrastructure market is likely to decline due to COVID-19.
For more details, visit: Global 5G Infrastructure Market By Hardware (Core Network, RAN, Others), By Services (Consulting, Support & Maintenance, Others), By Network Architecture (5G SA(NR+ Core), Others), By End-Users, By Region, Forecast & Opportunities to 2026
5G technology provides users improved experience and it provides ultra-high definition video, virtual reality, augmented reality gaming and seamless video calling. The demand for enhanced bandwidth connectivity with low latency is increasing around various applications such as drone and vehicle-2-everything (V2X). This boosts growth in 5G infrastructure market during forecast period.
On the basis of hardware, the 5G infrastructure market is segmented into core network, radio access network and backhaul & transport. The core network segment is estimated to dominate the market during forecast period. The core network helps in handling network traffic and stores consumer information. Major organizations are migrating towards implementing cloud based 5G networks to deliver smooth connectivity and reduce total cost ownership. This increasing adoption of core network is likely to drive growth in this segment during forecast period.
On the basis of network architecture, the 5G infrastructure market is segmented into 5G NR non-standalone (LTE Combined) and 5G standalone (NR+ Core). The 5G standalone (NR+ Core) segment is estimated to grow at higher CAGR during forecast period. The 5G SA includes new Radio and Core. 5G SA network provides end-to-end 5G experience to users and it can interoperate with 4g network in order to provide service continuity between the 2 generation networks. The adoption of 5G SA is rapidly increasing in the world and this drives growth in 5G SA segment during forecast period.
On the basis of end-users, the 5G infrastructure market is segmented into industrial, residential, commercial and government. The industrial segment is estimated to witness highest growth during forecast period. The deployment of 5G is in the nascent stage in industrial sector however, there are many growth opportunities in M2M communication technologies and IoT technologies. The 5G technologies are very important for industrial sector and this drives growth in industrial sector in 5G infrastructure market during forecast period.
Asia-Pacific region is estimated to dominate the market during forecast period. The deployment of 5G infrastructure is widely increasing in this region. The major communication service providers established in this region are shifting towards 5G infrastructure rapidly. The government is highly supporting the growth of this market in Asia-Pacific region and the government is highly focused on releasing multiple mmWave frequencies and sub-6GHz in order to fulfill the growing need of high speed data connectivity among population. This is likely to drive growth in Asia-Pacific region during forecast period.
The key market players in 5G infrastructure sector are Huawei Technologis, Samsung Electronics, Nokia Corporation, Telefonaktiebolgat LM Ericsoon, ZTE Corporation, NEC Corporation, Cisco Systems, Fujitsu Ltd., CommScope Inc., Comba Telecom System Holdings, Altistar, Airspan Networks, JMA Wireless and Casa Systems.
- What are the expected industry trends over the next three to five years?
- Which of the 5G infrastructure network architecture is likely to lead by 2026?
- Which of the end-user segments is expected to have the maximum potential to during the forecast period?
- Which region is going to have the highest smart meters market share by 2026?
- What are different organic and inorganic strategies implemented by companies to gain increased market share?