How Telecom Tower Market Works? Major Players are American Tower, AT&T, Bharti Infratel, China Tower, Crown Castle International, GTL Infrastructure

Telecom towers are grouped in a geographical location where population density is generally high and it connects a large number of cell phone users. This helps in avoiding saturation of the available capacity. The primary function of telecom towers is to give proper elevation to telecom antennas that will receive and transmit radio frequency signals from cell phones and other devices.

Some of the key players operating in the global telecom towers market include American Tower Corporation, AT&T Inc., Bharti Infratel Limited, China Tower Corporation, Crown Castle International Corporation, GTL Infrastructure Ltd, Helios Tower Africa, SBA Communications Corporation, T-Mobile Tower, Viom Networks, and others.

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Growth Factor:
Increasing the use of mobile phones in rural and urban areas and growing population worldwide is boosting the competition among telecom providers to offer better network coverage. This in turn is expected to drive the growth of the telecom towers market. For instance, according to Coherent Market Insights’ analysis, in 2019, 96% of people in the U.S owned a cellphone of some kind. Moreover, the share of people in the U.S. that own smartphones reached 81%, up from just 35% in 2011.

According to the government of India rules, the base station antennas should be at least 3 m away from nearby buildings and antennas should not directly face a building. Furthermore, the lower end of the antenna should be at least 3 meters above the ground or roof.

Regional Analysis:
The Asia Pacific is expected to be the largest and fastest-growing market for telecom towers during the forecast period, owing to the increasing number of mobile phone subscribers across the developing economies of the region such as India and China. Large population and increasing scope of subscriber density across the developing countries of the Asia Pacific such as India and China is driving the deployments of telecom towers. An increase in subscriber density in a particular area leads to a surge in demand for additional deployment or upgrade of existing telecom towers with better equipment to efficiently handle the telecom traffic.

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Among the deployment types, the shared infrastructure deployment segment is expected to witness the highest CAGR over the forecast period. Shared infrastructure deployment offers benefits such as cost savings for installing a telecom tower infrastructure and low total cost of ownership (TCO), which leads to a high preference for such deployment. Moreover, the high presence of market players decreases operating margin in the market, which further boosts demand for shared infrastructure models among the telecom tower service providers.

With a growing mobile subscriber base and an increasing number of MNOs coupled with emerging technologies such as Machine-to-Machine communication, Wi-Fi hotspots, and Network Function Virtualization (NFV), co-existence of many operators on a single infrastructure allows for co-development of the entire telecom industry. As a result, the shared infrastructure deployment segment is expected to witness a CAGR of 7.4% during the forecast period.

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