4G Equipment Market by Component and Technology: Global Opportunity Analysis and Industry Forecast, 2019-2026
According to a recent report published by Allied Market Research, titled, "4G Equipment Market by Component and Technology: Global Opportunity Analysis and Industry Forecast, 2019-2026," the global 4G equipment market was valued at $40,415.4 million in 2018 and is projected to reach $185,050.8 million by 2026, growing at a CAGR of 20.5% from 2019 to 2026.
Global 4G equipment market trends include increase in multimedia and streaming services. The multimedia service providers have benefited from the 4G networks as they enable faster internet connectivity and allow seamless streaming. Moreover, significant growth of network traffic due to rise in M2M connections, mobile and wireless devices is the major factor driving the growth of the 4G equipment market. strong growth of network traffic is majorly arising from growing M2M connections, smartphones, mobile and wireless devices. Consumer Video on Demand (VoD) traffic, internet video surveillance traffic and Augmented Reality (AR) and Virtual Reality (VR) network traffic are also expected to rise with significant growth in coming years.
Emergence of new social media platforms and applications are expected to further propel the growth of network traffic in coming years. To accommodate such huge network traffic and deliver strong network bandwidth, telecom operators are expanding their 4G infrastructure.
In addition, boom in consumer demand for high speed connectivity as well as supportive government and 4G equipment industry initiatives are driving the market growth. Moreover, growing competition among service providers in terms of better network connectivity and consumer satisfaction is also fueling the market growth. However, increase in concerns pertaining to network are expected to impede the 4G equipment market growth. Furthermore, expansion of 4G network is rural areas are further expected to provide major opportunities for the market growth in upcoming years.
Based on component, the infrastructure equipment segment dominated the market in 2018 and is expected to remain dominant during the 4G equipment market forecast period. The growth of this segment is mainly attributed to increase in number of connected and mobile devices across the world and specifically in Asia-Pacific. For instance, according to a GSM Association report on The Mobile Economy in 2017, 4G is anticipated to account for 48% overall connections by 2020.
Asia-Pacific generated the highest revenue as well as experienced rapid growth in 2019 and is expected to dominate the 4G equipment market size throughout the forecast period. Rise in penetration of smartphones and increase in awareness of mobile phone usage are the major reasons fueling the market growth in this region. Further, enterprises from various industry verticals are also demanding strong and sustainable internet connectivity. The need to narrow down the connectivity gap is leading to the adoption of 4G network equipment by various telecom service providers (TSPs).
Key Findings of the 4G Equipment Market:
Based on technology, the LTE segment generated the highest revenue for the 4G equipment market share in 2018 and is expected to remain dominant during the forecast period. The growth of this segment is mainly attributed to booming penetration of smartphones in developing countries such as India, China, Pakistan, Indonesia, and others.
Increase in multimedia and online video streaming services such as, Netflix, Amazon Prime, YouTube, and others, are fueling the demand for 4G connectivity. In addition, rise in trend of online gaming globally is also boosting the demand for strong and uninterrupted network connection, which is attributed to drive the growth for the 4G equipment market.
Some of the key players profiled in the 4G equipment market analysis include Airspan Networks Inc., Cisco, Fujitsu Limited, Huawei Technologies Co. Ltd., Motorola Solutions, Inc., NEC Corporation, Nokia Corporation, Samsung Electronics Co. Ltd., Telefonaktiebolaget LM Ericsson, and ZTE Corporation.