5G Infrastructure Market to Reach $ 58,174.6 Million by 2025 By Top Key Players:AT&T, Ericsson, Huawei Technologies Co., Ltd., Hewlett Packard Enterprise (HPE), Intel Corporation, Mediatek Inc, Nokia Corporation, Qualcomm Technologies, Inc., Samsung Elect
Growing penetration M2M/IoT connections and surge in demand for mobile broadband services drive the global 5G infrastructure market. However, huge initial investment, implementation challenges regarding technology & infrastructure, and increase in security and privacy concerns limit the market growth. On the other hand, increase in government initiatives for building smart cities in emerging economies create new pathways in the industry.
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Based on communication infrastructure, the small cell segment contributed nearly two-fifths of the total market share in 2017 and will maintain its dominance by 2025. This is due to surge in demand for mobile broadband service and its ability to efficiently offer high-speed broadband. However, the radio access network segment would grow at the highest CAGR of 108.0% during the forecast period, 2018–2025, owing to its evolution and support for multiple-input, multiple-output (MIMO) antennas, multi-band carrier aggregation, large spectrum bandwidths, and Distributed Antenna System.
Based on chipset type, ASIC held the major share in 2017, accounting for nearly half of the total market share and is expected to maintain its leadership status by 2025. This is due to increase in demand for custom chips. On the other hand, FPGA is expected to register the highest growth rate with a CAGR of 109.6% from 2018 to 2025, owing to its reprogramming characteristics that led to wide adoption.
According to report Asia-Pacific accounted for more than one-third of the total share in 2017 and will maintain its dominant position by 2025, owing to huge adoption of smart technologies in the region. However, LAMEA is expected to grow at the highest rate, with a CAGR of 119.4% from 2018 to 2025, owing to high rate of adoption of advanced systems and solutions in different industry verticals in the region.
Leading market players analyzed in the report include AT&T, Huawei Technologies Co., Ltd., Ericsson, Intel Corporation, Hewlett Packard Enterprise (HPE), Nokia Corporation, Mediatek Inc., Samsung Electronics Co. Ltd., Qualcomm Technologies, Inc., and Verizon.
5G infrastructures are software and hardware resources of a network that facilitates 5G connections, operations, communication, and management of an enterprise network. The deployment of 5G technology provides several advantage such as high-speed data transmission and higher efficiency as compared to 3G and 4G. 5G wireless network is expected to be the backbone of smart cities, which provides lucrative opportunity for the market growth.
China is expected to invest a total of $441 billion in the period from 2020 to 2030 on 5G mobile networks making this as the country’s most expensive expansion of telecommunications infrastructure. A 5G study published in July 2018 by the China Academy of Information and Communications Technology, the research sector of the Ministry of Industry and Information Technology (MIIT), forecast the combined 5G expenditure of the three domestic network operators to reach $46.6 billion in 2023. Also, China has outspent the U.S. by $24 billion since 2015 and expanded ten times more sites than the U.S. in support of 5G communications. China has built 350,000 new cell phone tower sites whereas, the U.S. built less than 30,000.
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