Press release
Strong Demand Anticipated to Drive Materials Need In 5G Market Toward $31.26 Billion Valuation by 2029
Materials Need In 5G Market
Demand for materials within the 5G sector has witnessed substantial acceleration throughout the recent past; projections indicate an expansion from a valuation of $13.09 billion in 2024 up to $15.61 billion by 2025, reflecting a compound annual growth rate of 19.3%. This historical upward trajectory in market size is largely attributable to several converging factors, notably the escalating consumption of mobile data, a greater volume of active smartphone subscriptions, increasing population concentration in urban environments, augmented investments in broadband foundational structures, widespread adoption of digital transformation efforts, and government-sponsored programs aimed at expanding network reach.
What Is the Projected Valuation of the Materials Need In 5G Market by 2029?
Anticipated for swift escalation, the scope of the materials sector within the 5G market is set for substantial expansion over the forthcoming years, projecting a valuation reaching $31.26 billion by the year 2029, fueled by a compound annual growth rate (CAGR) of 19.0%. This upswing across the projection timeframe stems from several contributing elements: amplified spectrum licensing endeavors, augmented public investment aimed at enhancing remote area connectivity, a rise in international telecommunications partnerships, a boom in smart urban implementations, the widening availability of global roaming options, and heightened requirements for base station locations capable of high throughput. Key movements shaping this period involve progress in radio frequency materials that minimize signal loss, improvements in adaptable substrate substances suitable for smaller electronics, breakthroughs in composites with superior heat conduction for more rapid thermal management, forward movement in constructing lighter antenna parts suitable for compact cell installations, ongoing exploration into multi-layer circuit boards designed for quicker signal passage, and the creation of dielectric materials that are gentler on the environment.
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Which Market Dynamics Are Driving the Materials Need In 5G Market Forward?
The expansion of 5G network implementation is anticipated to fuel the forward trajectory of the materials required for the 5G market. These fifth-generation wireless communication systems, engineered for the provision of rapid data rates and minimal signal delays, are seeing wider adoption, a trend spurred by substantial capital outlays from telecommunication providers aiming to establish fresh infrastructure, enhance service areas, and accommodate the escalating demand for data-intensive applications. The necessary materials for 5G facilitate the establishment of these networks through the furnishing of crucial elements like sophisticated semiconductor devices, antennas operating at elevated frequencies, optical fibers, and particular alloys, all indispensable in constructing the high-throughput, low-latency framework that ensures dependable linking and optimized network functionality. As an illustration, data from 5G Americas, a US industry group representing mobile communication entities across the American continents, indicated that in the year 2024, North America amassed around 289 million active 5G subscriptions, marking an increase of almost 67 percent compared to the preceding year's figure of approximately 196 million connections achieved in March 2025; consequently, the proliferation of 5G networks is directly stimulating the expansion within the market for materials essential to their operation.
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Which Fast-Growing Trends Are Accelerating the Materials Need In 5G Market Evolution?
Leading firms engaged in the materials sector essential for 5G deployment are integrating cutting-edge technological progress, like sophisticated lamination methods, to attain smaller sizes, greater operational effectiveness, and enhanced device capabilities. These high-precision lamination processes entail precisely layering and adhering exceptionally thin films of insulating material along with internal conductive elements under strict dimensional governance, thus facilitating the creation of minuscule parts that exhibit reduced energy loss (parasitic losses) and bolster dependability in circuits handling elevated frequencies. As a concrete illustration, in February 2024, Murata Manufacturing Co., Ltd., a Japanese manufacturer specializing in passive electronic parts, unveiled its GJM022/100 V series of multilayer ceramic capacitors (MLCCs), which leverage advanced thin-layer deposition and superior lamination techniques to realize an extremely small physical presence measuring merely 0.4 mm by 0.2 mm, all while sustaining excellent quality factor (high-Q) characteristics and resilience across elevated temperature ranges. Specifically tailored to bolster cellular communication systems, such as 5G modules, the GJM022 lineup contributes by shrinking component volume, boosting the efficiency of power amplifiers, and accommodating more compact circuit designs.
Which Key Segments Contribute Significantly to the Materials Need In 5G Market Expansion?
The materials need in 5g market covered in this report is segmented -
1) By Material Type: Semiconductors, Ceramics, Polymers, Metals, Other Material Types
2) By Active Components: Transceivers, Antennas, Baseband Chips, Power Amplifiers, Radio Frequency Integrated Circuits (RFICs)
3) By Passive Components: Capacitors, Inductors, Resistors, Filters, Connectors
4) By Network Infrastructure: Fiber Optics, Microwave Components, Small Cells, Distributed Antenna Systems (DAS), Backhaul Equipment
5) By End-User: Telecommunications, Automotive, Healthcare, Industrial, Other End-Users
Subsegment:
1) By Semiconductor Type: Silicon, Gallium Arsenide, Gallium Nitride, Silicon Carbide, Indium Phosphide
2) By Ceramic Type: Ceramic Substrates, Ceramic Capacitors, Ferrite Components, Piezoelectric Ceramics, Ceramic Filters
3) By Polymer Type: Polyimide, Polytetrafluoroethylene, Liquid Crystal Polymers, ket*one, Polyphenylene Sulfide
4) By Metal Type: Copper, Aluminum, Silver, Gold, Titanium
5) By Other Material Type: Glass Materials, Carbon-Based Materials, Magnetic Materials, Composite Materials, Alloys
Who Are the Leading Innovators and Market Shapers in the Materials Need In 5G Market?
Major companies operating in the materials need in 5g market are Panasonic Holdings Corporation; Broadcom Inc.; Sumitomo Electric Industries Ltd.; Daikin Industries Ltd.; Prysmian Group SpA; TDK Corporation; TE Connectivity Ltd.; AGC Inc.; Corning Incorporated; Murata Manufacturing Co. Ltd.; Furukawa Electric Co. Ltd.; Fujikura Ltd.; Skyworks Solutions Inc.; Qorvo Inc.; Belden Inc.; Taiyo Yuden Co. Ltd.; Yangtze Optical Fibre and Cable Joint Stock Limited Company; Rogers Corporation; Sterlite Technologies Limited; Isola Group Ltd.
Which Regions Are Expected to Dominate the Materials Need In 5G Market by 2029?
Asia-Pacific was the largest region in the materials need in 5G market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the materials need in 5g market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
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