Press release
2025-2034 5G Chipset Market Evolution: Disruptions, Innovations, and Untapped Opportunities
5G Chipset Market
What Is the Expected CAGR for the 5G Chipset Market Through 2025?
The market size of the 5G chipset has experienced an impressive increase as of late. It is expected to expand from its valuation of $16.88 billion in 2024, reaching $22.38 billion by 2025, recording a 32.5% compound annual growth rate (CAGR). The significant increase during this historical phase is presumably due to the progression of mobile communication standards, a spike in demands for greater data transmission rates, the expansion of internet of things (IoT) devices, the rise of mobile broadband services, and the establishment of smart cities along with connected infrastructure.
What's the Projected Size of the Global 5G Chipset Market by 2029?
In the upcoming years, the 5G chipset market is projected to experience substantial growth, reaching $68.68 billion by 2029 with a compound annual growth rate (CAGR) of 32.4%. Various factors will contribute to this growth during the projection period including the industrial automation and IoT's adoption of 5G, improved mobile connectivity resulting from the expansion of 5G networks, increasing demand for high-bandwidth and low-latency applications, autonomous vehicles and smart transportation incorporating 5G, and the increasing establishment of 5G in remote and rural areas. Predominant trends expected during this period encompass the incorporation of mmWave technology into 5G chipsets, the development of compact and energy-efficient 5G chipsets, AI's integration into the design of 5G chipsets, focus on open RAN architectures, and the use of 5G chipsets for fixed wireless access (FWA).
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Top Growth Drivers in the 5G Chipset Industry: What's Accelerating the Market?
The escalation in mobile data traffic plays a crucial role in propelling the progress of the 5G chipset market. Essentially, mobile data traffic is the data volume flowing across the entire internet network at any given moment. The burgeoning mobile data traffic calls for superior performance of mobile network and data connectivity. These necessary improvements are supposed to be offered by future 5G networks, thereby powering the evolution of 5G chipsets. For instance, the Ericsson Mobility Report published by the Telefonaktiebolaget LM Ericsson, a networking and telecommunications company based in Sweden, projected in November 2023 that globally mobile data traffic is predicted to triple by the close of 2029, with 5.3 billion 5G subscriptions and the average data consumption of smartphones rising from 21GB to 56GB per month from 2023 till 2029. Hence, it is anticipated that the escalating mobile data traffic is a key factor driving the growth of the 5G chipset market in the future.
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What Trends Will Shape the 5G Chipset Market Through 2029 and Beyond?
A prevailing trend in the 5G chipset market is the emergence of product innovations. Dominant market players are crafting innovative products to boost market growth. For example, in July 2024, Qualcomm Technologies, Inc., an enterprise based in the US and specializing in wireless telecommunications products and services, unveiled the Snapdragon 4s Gen 2 chipset. This chipset was created to bolster affordable 5G smartphones, supporting standalone (SA) 5G network compatibility, at prices as low as Rs 8,300. The major relevance of this development is its ability to expand 5G accessibility and bring advanced mobile technology to a broader audience, notably in burgeoning markets like India. All the while, it presents a robust competition to MediaTek in the budget range.
What Are the Main Segments in the 5G Chipset Market?
The 5G chipset market covered in this report is segmented -
1) By Integrated Circuit: Radio Frequency Integrated Circuit (RFIC), Application-Specific Integrated Circuit (ASIC), Cellular Integrated Circuit (Cellular IC), Millimeter Wave Integrated Circuit (mmWave IC)
2) By Operational Frequency: Sub 6GHz, Between 26 and 39 Ghz, Above 39 Ghz
3) By Vertical: Manufacturing, Energy And Utilities, Media And Entertainment, IT And Telecom, Transportation And Logistics, Healthcare, Other Verticals
Subsegments:
1) By Radio Frequency Integrated Circuit (RFIC): Power Amplifiers (PAs), Low Noise Amplifiers (LNAs), Transmitters, Receivers
2) By Application-Specific Integrated Circuit (ASIC): Digital ASICs, Analog ASICs, Mixed-Signal ASICs
3) By Cellular Integrated Circuit (Cellular IC): Modems, Baseband Processors, RF Transceivers
4) By Millimeter Wave Integrated Circuit (mmWave IC): mmWave Transceivers, mmWave Amplifiers, mmWave Antennas
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Which Top Companies are Driving Growth in the 5G Chipset Market?
Major companies operating in the 5G chipset market include Qorvo Inc., Qualcomm Technologies Inc., Huawei Technologies Co. Ltd., Samsung Electronics Co. Ltd., UNISOC Communications Inc., Intel Corporation, MediaTek Inc., Infineon Technologies AG, Xilinx Inc., NOKIA CORPORATION, Skyworks Solutions Inc., NXP Semiconductors, Advanced Micro Devices Inc., International Business Machines Corporation, Broadcom Inc., Marvell Technology Group Ltd., Analog Devices Inc., Renesas Electronics Corporation, Fujitsu Limited, Integrated Device Technology Inc., Texas Instruments Incorporated, STMicroelectronics N. V., Murata Manufacturing Co. Ltd., Cavium Inc., MACOM Technology Solutions Holdings Inc., Anokiwave Inc., Sequans Communications S. A., MaxLinear Inc., Inseego Corp., Sierra Wireless Inc., Telit Communications PLC, Quectel Wireless Solutions Co. Ltd., Fibocom Wireless Inc.
Which Regions Will Dominate the 5G Chipset Market Through 2029?
Asia-Pacific was the largest region in the 5G chipset market in 2024.Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the 5g chipset market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
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