The global 5G infrastructure market is anticipated to witness a rapid growth during the forecast period (from 2017 to 2025). Growing need for high-speed internet connectivity and increased dependency on smartphone devices are the major factors driving the demand for 5G infrastructure. This kind of telecom infrastructure offers broadband connectivity of ultra-high speed and can connect multiple devices through internet. Rising need for software implementation in communication network is also expected to have a positive impact on the market development. In addition, escalating demand for high-speed mobile data services can fuel the market growth in the forthcoming years.
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Rise of Machine-to-Machine (M2M) communication technology in various end-use industries is also projected to contribute toward the market development. Companies in the industry focus on R&D activities and strategic collaborations to roll-out 5G infrastructure. For instance, Qualcomm technologies recently introduced first 5G New Radio (NR) solution named FSM100xx to bring gigabit data speed to small cells. It works well in all environments and adapts to the requirements of any network while handling 5G on both millimeter wave and regular frequencies. The new FSM100xx platform also includes software-defined modem to allow OEMs to upgrade their devices for future 3GPP releases.
The 5G infrastructure market can be segregated on the basis of product, end-user or application, and region. Based on product type the market can be bifurcated into core network technology and chipset type. The core network technology segment is subcategorized into Software-Defined Networking (SDN), Network Function Virtualization (NFV), Mobile Edge Computing (MEC), and Fog Computing (FC). On the basis of chipset type, the market is sub-segmented into Application-Specific Integrated Circuit (ASIC), Radio Frequency Integrated Circuit (RFIC), millimeter wave technology chips, and field programmable gate array (FPGA). The SDN segment dominated the market in past years and is likely to retain its dominance during the forecast period. Being intelligent network architecture, it reduces the hardware constraints.
Based on application, the market can be segmented into healthcare, retail, automotive, energy & utilities, intelligent buildings & infrastructures, industrial automation, consumer electronics, and others. Regional segmentation includes China, Japan, South Korea, Taiwan, Europe, and United States. The Japan 5G infrastructure market is anticipated to grow well during the next few years attributed to the on-going preparations in the country to roll-out 5G network. In addition, the next generation mobile network is also likely to boost the market growth in this region. In addition, changes such as the introduction of spectrum auctioning can also fuel the market growth in the region.
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The 5G infrastructure market in India is expected to grow at a significant pace in the coming years on account of favorable government initiatives to introduce 5G technology in the country via National Telecom Policy (NTP). NTP is expected to bring in standardization and encourage investments in fiber backhaul. In the US region, the market is projected to display a significant growth owing to continuous efforts from the local telecommunication companies to roll-out 5G network infrastructure as early as possible. Moreover, successful trails of 5G from the market players such as AT&T and Verizon Communication is also estimated to fuel the market expansion in the region. Some of the leading companies in the global market for 5G infrastructure are Qualcomm Inc.; Intel Corp.; Telefonaktiebolaget LM Ericsson; Samsung Group; and Verizon Communications, Inc.
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