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5G Infrastructure Market Expected to Reach $58,174.6 Million By 2025


quote The 5G infrastructure market is expected to witness considerable growth due to the increase of M2M/IoT connections and increase in demand for mobile broadband services globally, which propels its adoption. The 5G infrastructure market is projected to witness significant growth, especially in the emerging economies due to rise in stringent government regulations regarding 5G deployment and building of smart cities in emerging economies, such as Asia-Pacific and LAMEA. quote

Rahul Kumar
Lead Analyst, Semiconductors & Electronics at Allied Market Research

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According to a recent report published by Allied Market Research, titled,"Global 5G Infrastructure Market by Communication Infrastructure, Network Technology, Chipset Type, and Application: Global Opportunity Analysis and Industry Forecast, 2018 - 2025,"the global 5G infrastructure market was valued at $371.4 million in 2017 and is projected to reach $58,174.6 million by 2025, growing at a CAGR of 95.8% from 2018 to 2025.

5G technology is expected to offer a promising innovation revolution by bringing digital intelligence to previous analog technologies. The deployment of 5G technology provides several advantage such as high-speed data transmission and higher efficiency as compared to 3G and 4G. 5G wireless network is expected to be the backbone of smart cities, which provides lucrative opportunity for the growth of the market.

The 5G infrastructure market growth is supplemented by the proliferation of M2M/IoT connections and increase in demand for mobile broadband services. However, high investment and technological & infrastructure challenges in implementation of 5G network and privacy & security concerns impede the 5G infrastructure market growth. Furthermore, rise in government initiatives for building smart cities in Asia-Pacific is expected to provide lucrative 5G Infrastructure market opportunity.

The automotive & transportation sector is expected to be affected widely with the introduction of 5G technology. Autonomous vehicles are expected to be a reality in the coming years with the help of emerging 5G technologies. The current 4G network is compatible for sharing status updates, real-time information, and request rides. This provides a platform for companies, such as Uber and Lyft. However, 4G cannot support technologies that need high speed and give vehicles spontaneous human-like reflexes. This is where 5G comes into picture.

Asia-Pacific is expected to hold largest market share in 2017. Rise in government initiatives for building smart cities in Asia-Pacific and upcoming long-term investments in smart technologies drive the growth of the Asia-Pacific market. Moreover, various technological advancements related to automotive, aerospace & defense, manufacturing due to government initiatives such as investment in R&D further propels the growth of the market.

Key Findings of the5G Infrastructure Market:

  • In 2017, the small cell sub-segment generated the highest revenue in the global NDT testing equipment market.
  • In 2017, the ASIC generated the highest revenue among the chipset type in the global 5G infrastructure market.

The key players profiled in this report include AT&T, Ericsson, Huawei Technologies Co., Ltd., Hewlett Packard Enterprise (HPE), Intel Corporation, Mediatek Inc, Nokia Corporation, Qualcomm Technologies, Inc., Samsung Electronics Co. Ltd., and Verizon. These key players have adopted strategies, such as product portfolio expansion, mergers & acquisitions, agreements, geographical expansion, and collaborations to enhance their market penetration. For Instance, In February 2019, Ericsson entered into a partnership with Intel Corporation to develop the next-generation hardware management platform. This platform will deliver a new level of cloudlike agility, transparency & efficiency required for Network Functions Virtualization (NFV), distributed cloud, and 5G. Furthermore, In January 2019, AT&T collaborated with Chicago-based Rush University Medical Center and the Rush System for Health working to bring the first standards-based 5G enabled hospital to the U.S. This 5G technology bring faster speed, lower latency, and support the abundance of innovative technologies.

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quote 5G Infrastructure Market by Communication Infrastructure (Small Cell, Macro Cell, Radio Access Network, and Distributed Antenna Network), Network Technology (Software Defined Networking & Network Function Virtualization, Mobile Edge Computing, and Fog Computing), Chipset Type (Application-Specific Integrated Circuit, Radio-Frequency Integrated Circuit, Millimeter Wave Technology Chips, and FPGA), and Application (Automotive, Energy & Utilities, Healthcare, Retail, and Others): Global Opportunity Analysis and Industry Forecast, 2018 - 2025 quote

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