5G is employed in three sorts of connected services: enhanced mobile broadband, mission-critical communications, and enormous Internet of Things. Forward compatibility is a feature of 5G technology, which means it may be used with a wide range of devices, including smartphones, laptops, security systems, and more. It also has the flexibility to handle future services that call for greater internet speeds and ultra-low latency. 5G mobile technology can usher in new immersive experiences such as VR and AR with faster, more consistent data rates, lower latency, and cheaper cost-per-bit, in addition to making smartphones better. With ultra-reliable, accessible, low-latency networks, 5G can enable new services that can alter sectors, such as remote control of key infrastructure, automobiles, and medical operations. Further, higher data rates are projected to be demanded as the demand for edge computing grows along with the amount of data generated by IoT devices. Thus, increasing penetration of IoT technology is contributing toward the growth of the 5G market.
The global 5G market is anticipated to exhibit high growth in near future. Some of the major driving factors contributing to the market growth includes growing need for an energy-efficient communications network infrastructure. Also, rising demands for network splicing on the functional aspects of the infrastructure to achieve network efficiency is expected to significantly drive the 5G industry. According to Qualcomm, 5G has been deployed in more than 60 countries worldwide and is continuing to grow. As per the company, the penetration and adoption rate of 5G is much faster as compared with 4G. The increase in awareness related to the benefits of 5G is catalyzing the adoption of the technology, which is ultimately boosting the 5G market. Also, according to Qualcomm, globally an amount of US$ 265 billion is expected to be invested in 5G industry over the next 15 years. Owing to the massive upcoming investment, the market growth is foreseen to be promising.
Several economically developing countries are emphasizing enhancement of the country’s internet connectivity. Owing to this, the investments toward 5G technology is growing continuously, which is catalyzing the 5G market in the countries. For instance, Saudi Arabian government has increased its focus on the development of 5G technology to achieve the country's VISION 2030 goal of being a leading economy. Leading telecom companies such as Ooredoo (Qatar) and Etisalat Group (UAE) are taking various steps to advance 5G technology in their respective nations. Moreover, the Mexican government is working on a project called Red Compartida to improve connection across the country. The goal of this project is to develop a 5G-ready network in Mexico utilizing LTE technology. Moreover, countries such as Argentina, Chile, and Columbia have taken steps to invest in 5G technology through agreements with major telecommunications companies such as Nokia and Huawei Telecommunications. Thus, the aforementioned factors have contributed toward the growth of the 5G market. Further, India is on the verge of rolling out its 5G network, according to the Indian government. The technology in India is in its final development stage, and the government hopes to witness a massive adoption rate over the next 5 years. This would significantly boost the 5G market in the country. China and Japan are among the key countries in the Asian 5G market, while India is expected to emerge out as one of the most promising countries in the 5G market.
Building & home automation is the leading vertical in the market. Investments in smart city technology are expected to reach US$ 135 billion by 2021, according to IDC. 5G technologies are predicted to serve as the foundation for small cell networks that will drive the next generation of wireless infrastructure within a smart city, presenting a profitable opportunity for the 5G technology market over the forecast period.
The regional trends and factors influencing the 5G Market throughout the forecast period have been thoroughly explained by the analysts at Insight Partners. This section also discusses 5G Market segments and geography across North America, Europe, Asia Pacific, Middle East and Africa, and South and Central America.
| Report Attribute | Details |
|---|---|
| Market size in 2020 | US$ 2.56 Billion |
| Market Size by 2025 | US$ 23.95 Billion |
| Global CAGR (2020 - 2025) | 56.39% |
| Historical Data | 2018-2019 |
| Forecast period | 2021-2025 |
| Segments Covered |
By Networking Infrastructure
|
| Regions and Countries Covered | North America
|
| Market leaders and key company profiles |
The 5G Market market is growing rapidly, driven by increasing end-user demand due to factors such as evolving consumer preferences, technological advancements, and greater awareness of the product's benefits. As demand rises, businesses are expanding their offerings, innovating to meet consumer needs, and capitalizing on emerging trends, which further fuels market growth.
Market players density refers to the distribution of firms or companies operating within a particular market or industry. It indicates how many competitors (market players) are present in a given market space relative to its size or total market value.
Major Companies operating in the 5G Market are:
Disclaimer: The companies listed above are not ranked in any particular order.
Players operating in the 5G market adopt strategies such as mergers, acquisitions, and market initiatives to maintain their positions in the market. A few developments by key players are listed below:
The List of Companies
1. T-Mobile USA, Inc.
2. Cisco Systems, Inc.
3. AT&T, Inc.
4. Qualcomm, Inc.
5. Ericsson
6. Huawei Technologies Co. Ltd.
7. Verizon Communications, Inc.
8. Nokia Networks
9. Telefonica S.A.
10. Orange S.A.