5G infrastructure Market Value Projected to Expand by 2025
While ubiquity of smartphones has radically increased the demand for high speed internet, persistent technologies have also resulted in the development of other electronic goods that can make use of improved data transfer connections. Collectively, these two factors have escalated the need for 5G infrastructure, which not only promises enhanced performance, the future of mobile networks is revolutionizing. Constructed on the concept of network slicing, 5G enables the slicing of network infrastructure into smaller fragments that can individually operate and serve specific purposes. Driven by the fresh concept of programmability and virtualization, the modern 5G networks are expected to be highly reliable and will be cost effective too, and hence, the demand in the global 5G infrastructure market will increment at a robust double-digit CAGR during the forecast period of 2017 to 2025.
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Global 5G infrastructure Market: Key Trends
Escalating demand from mobile data services, growing dependency of various industries on machine-to-machine communication in order to increase production and ensure safety, and increasing importance of implementing software in communication network are some of the key factors augmenting the demand in the global 5G infrastructure market. Over a 5G network, cloud computing services such as network as a service (NaaS), data as a service (DaaS), Machine as a service (MaaS), and Knowledge as a service (KaaS) can be delivered without the requirement of independent software or hardware and even the cognitive objects themselves.
On the other hand, delays in proper standardization of spectrum allocations and challenges pertaining to designing including MIMO and inter-cell interference are a few obstructions hindering the prosperity of the global 5G infrastructure market. Nevertheless, the vendors of this market are expected to gain new opportunities from increasing demand from diverse end-use industries and growth of the Internet of Things technology.
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Global 5G infrastructure Market: Market Potential
The tremendous growth that 5G infrastructure market is showcasing is a result of rapid technological development by a number of major players of the market. Chinese technology giants such as Huawei and ZTE as well as Nokia in Finland have poured in investments to manufacture equipment required for the network and have initiated prototyping with several leading mobile service carriers such as China Mobile, AT&T, China Unicom, and SoftBank. Moreover, vendors are focused particularly on automation technologies such as robotics, internet of things (IoT), and machine to machine learning. For all these new advancements, robust network connections as essential and 5G network is adequate to tackle them.
Global 5G infrastructure Market: Regional Outlook
Among all important regions such as Europe, North America, Asia Pacific, and the Middle East and Africa, North America is expected to sustain its position as the leading region with maximum demand. This can be attributed to increasing demand of automation from various industries in the country of the U.S., growing number of mobile subscribers, prosperity of video on demand services, escalations in autonomous cars, and increase in cellular machine to machine connections are a few factors aiding the North America 5G infrastructure market. Europe is another lucrative region, although vastly populated region of Asia Pacific is lagging behind owing to delays in spectrum distribution.
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Global 5G infrastructure Market: Competitive Analysis
Intel, Qualcomm, Ericsson, NEC, Samsung, Qorvo, MediaTek, Huawei, Nokia, AT&T, Cavium, Cisco, Analog Devices, SK Telecom, Verizon Communications, T-Mobile, Korea Telecom, ZTE, China Mobile, and MACOM Technology Solutions are some of the key companies currently holding a position of strength in the global 5G infrastructure market. Entrance of new players is limited in this market owing to the requirement of strong capital investments.
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