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5G System Integration Market on Track for Strong Growth, Estimated to Grow at 26.3% CAGR Through 2029
5G System Integration
What Is the Expected CAGR for the 5G System Integration Market Through 2025?
In recent times, there's been an explosive surge in the size of the 5G system integration market. Anticipated to increase from the value of $15.53 billion in 2024 to $19.96 billion in 2025, it boasts a compound annual growth rate (CAGR) of 28.6%. Factors contributing to the growth experienced in the historical span include the need for swift data, evolution of mobile broadband, high-speed communication infrastructure, rise in remote work, and accelerated wireless communication.
What's the Projected Size of the Global 5G System Integration Market by 2029?
In the coming years, the market size of 5G system integration is projected to experience significant expansion. By 2029, it's anticipated to escalate to $50.78 billion, with a compound annual growth rate (CAGR) of 26.3%. The predictive growth for the period could be as a result of intensifying mobile data traffic, the surge of edge computing, ongoing industry digitalization, growing demand for next-generation connectivity, and telecommunication advancements. Key trends for this period would involve the development of smart cities and infrastructure, the advent of IoT devices, integration of artificial intelligence (AI) and machine learning, incorporation with satellite networks and network segmenting.
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Top Growth Drivers in the 5G System Integration Industry: What's Accelerating the Market?
The projected growth of the 5G system integration market is anticipated to be driven by the escalating demand for high-speed bandwidth capacity. Rapid data transmission capability, identified as high-speed bandwidth, is increasingly in demand owing to factors including the rise in popularity of high-definition (HD) and ultra-high-definition (UHD) content, the move towards remote operations and virtual collaborations, the widespread use of IoT devices, and the implementation of cloud computing and storage solutions. The incorporation of 5G systems bolsters high-speed bandwidth capability for various applications and services. This uses the enhanced features of 5G networks to provide quicker and steadier connectivity for tasks such as internet surfing, media streaming, and communication. For example, as reported by 5G Americas, a North American trade organization representing 5G mobile networks and wireless technology, there was a 76% increase in 5G wireless connections to reach a total of 1.05 billion in April 2023, up from 2021 to 2022. The 5G connections are further predicted to hit 1.9 billion by the close of 2023 and 5.9 billion by 2027. Consequently, the upsurge in demand for high-speed bandwidth capacity is propelling the 5G system integration market.
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What Trends Will Shape the 5G System Integration Market Through 2029 and Beyond?
Major firms active in the 5G system integration market, such as HCLTech, are concentrating on the evolution of cutting-edge technological solutions like the 5G SF integration frameworks. These frameworks aim to streamline the process of deployment, maximize network performance, and strengthen scalability to ensure a smooth 5G system integration. HCLTech's 5G SF integration frameworks include a thorough set of tools, protocols, and methodologies which are developed to provide effortless integration of diverse components and technologies in a 5G network environment. In February 2023, HCL Technologies Limited, an IT and consulting enterprise based in India, introduced HCLTech's 5G SF - a range of tech solutions designed for the 5G ecosystem, intended to enhance 5G readiness and system integration for communication service providers (CSPs) and enterprises. This initiative consists of a 5G system integration framework that permits the flawless deployment and integration of vital components for upcoming 5G networks. HCLTech's 5G System Integration Framework presents a thorough solution for public and private 5G network operators and assists in the smooth deployment and integration of crucial network elements. This framework lets CSPs, enterprises, hyperscales, and equipment manufacturers effortlessly embark on virtual functions, realize notable operational efficiencies, and amplify network performance as well as user experiences.
What Are the Main Segments in the 5G System Integration Market?
The 5G system integrationmarket covered in this report is segmented -
1) By Services: Consulting, Infrastructure Integration, Application Integration
2) By Application: Smart City, Collaborate Robot And Cloud Robot, Industrial Sensors, Logistics And Inventory Monitoring, Wireless Industry Camera, Drone, Home And Office Broadband, Vehicle-To-Everything (V2X), Gaming And Mobile Media, Other Applications
3) By Vertical: Banking, Financial Services And Insurance (BFSI), Healthcare, Information Technology (IT) And Telecommunications, Retail, Manufacturing, Energy And Utilities, Media And Entertainment, Other Verticals
Subsegments:
1) By Consulting: Network Planning And Design, Strategy And Roadmap Development, Technical Feasibility And Analysis
2) By Infrastructure Integration: Hardware Integration, Network Deployment And Optimization, Cloud Infrastructure Integration
3) By Application Integration: IoT Application Integration, Cloud Application Integration, Network Function Virtualization (NFV) Integration, Edge Computing Integration
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Which Top Companies are Driving Growth in the 5G System Integration Market?
Major companies operating in the 5G system integration market are Samsung Electronics Co. Ltd., Dell Technologies Inc., Huawei Technologies Co. Ltd., accenture* Inc., International Business Machines Corporation (IBM), Cisco Systems Inc., Oracle Corporation, Broadcom Inc., Fujitsu Limited, Hewlett Packard Enterprise (HPE), Tata Consultancy Services Limited (TCS), Telefonaktiebolaget LM Ericsson (Ericsson), Nokia Corporation, Johnson Controls International plc, NEC Corporation, Cognizant Technology Solutions Corporation, ZTE Corporation, Infosys Limited, DXC Technology Company, HCL Technologies Limited, Atos SE, Wipro Limited, Tech Mahindra Limited, Keysight Technologies Inc., Amdocs Limited, Ciena Corporation, Altran Technologies SA, Mavenir Systems Inc., Ribbon Communications Inc., Hansen Technologies Limited
Which Regions Will Dominate the 5G System Integration Market Through 2029?
North America was the largest region in the 5G system integration market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the 5G system integration market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
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