Wireless Infrastructure Market Size, Share & COVID-19 Impact Analysis, By Connectivity Type (5G, 4G & LTE, 3G, 2G, and Satellite), By Infrastructure (Small Cells, Mobile Core, Macro-Cells, Radio Access Networks, Distributed Antenna System, Cloud RAN, Carrier Wi-Fi, Backhaul, and SATCOM), By Platform (Government & Defense and Commercial), and Regional Forecast, 2022-2029

The global wireless infrastructure market size was valued at USD 178.56 billion in 2021 and is projected to grow from USD 202.43 billion in 2022 to USD 427.43 billion by 2029, exhibiting a CAGR of 11.27% during the forecast period. North America dominated the wireless infrastructure market with a market share of 37.26% in 2021. Moreover, the wireless infrastructure market size in the U.S. is projected to grow significantly, reaching an estimated value of USD 129.39 million by 2032, driven by increasing demand for high-speed internet connectivity to drive the market size & growth.

The global COVID-19 pandemic has been unprecedented and staggering, with wireless infrastructure witnessing higher-than-anticipated demand across all regions compared to pre-pandemic levels. Based on our analysis, the global market exhibited a growth of 13.91% in 2020 as compared to 2019.

Wireless network infrastructure encompasses connections such as 5G, 4G & LTE, 3G, and 2G, mostly made up of mobile subscribers. Bring Your Own Device (BYOD) and Wear Your Own Device (WYOD) are becoming more popular, surging the demand for high-speed data and speedier connectivity in the commercial communication industry. Increased use of satellite-based connectivity for the defense and marine industries is also driving the market in the forecast period.

Small cells, macro-cells, RAN, distributed antenna systems, cloud RAN, carrier Wi-Fi, mobile core, front-haul, backhaul, and satellite connection are all examples of infrastructure. Due to increased connectivity available across countries, such as the U.S. and the U.K, the scope of equipment technology has been expanding in recent years, particularly in small cell equipment. The infrastructure is made up of a collection of antennas, as well as their accompanying hardware and software.

COVID-19 IMPACT

COVID-19 Influence on Wireless Infrastructure Caused Slowdown in 5G Deployment

Due to the economic slump and other related issues, the novel coronavirus pandemic created unprecedented obstacles to many corporate activities. Due to 5G hardware delays and supply chain interruptions, 5G may suffer a knock in the short and medium term. The global market progress is anticipated to be hampered in the near future due to slight halt in 5G deployment during the pandemic.

On the other hand, manufacturers around the world are adopting digital transformation plans to provide core business value in areas such as competitive excellence, increased company efficiency, and market distinctiveness. The introduction of 5G and private wireless networks can meet business automation and core connection requirements. These factors may help accelerate the development of wireless network infrastructure in the coming years.

RUSSIA-UKRAINE WAR IMPACT

Increase in Demand for Wireless Communication has Expanded Wireless Infrastructure

The Russia-Ukraine war crisis led to the growing use of wireless services across Europe, especially from the NATO countries. The defense forces used advanced telecommunication equipment and internet services for military communication and navigation services.

In the recent ongoing Russia and Ukraine war, SpaceX’s Starlink antenna project has amplified the virtue of GPS and anti-detection systems. The rise in the war situation around the world has given rise to the demand for secure transmission systems, along with the agility for accurate operations.

The recent war has shown the use of multi-platform anti-jamming antennas being used to prevent detection and intrusion from enemies. Multi-platform anti-jamming antennas can be boarded on UAVs and vehicles as well; they can be operated over the ground and for aviation applications as well. Such undiscoverable systems are anticipated to clutch the growth rate in the coming years.

In addition, most of the telecom providers are either providing free international calls to Ukraine or are scrapping roaming charges with the country. Furthermore, European telecom ETNO Group offered SIM cards to refugees in neighboring countries, activated the 'SMS donation' programs to help different organizations aiding refugees, offered free Wi-Fi in refugee camps, and provided Ukrainian channels in IPTV packages for free.

LATEST TRENDS

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Growing Need of Spectrum Trends, Network Customization, Intelligence and Virtualization is Propelling the Market

The latest trends in the networks for 4G, 5G, and beyond 5G include densification & coverage extension methods, spectrum trends, network customization and intelligence, virtualization, and cloudification. These trends provide enhanced opportunities to service providers for network customization, network deployments, and network optimization. Key players in the market are focusing on OpenRAN technology that generates an industry shift by promoting open interfaces within the mobile network that results in a broader variety of industry players and vendors. Furthermore, the development of multi-tenant edge data centers fulfills the increased demand by customization of the services required by OEMs in the augmented reality/virtual reality, Artificial Intelligence (AI), and IoT space. Spectrum provides radio interface resources for wireless communications. The spectrum is re-farmed and conventional technologies are replaced by new technologies in a given frequency band. For example, 2G and 3G technologies previously used 850 MHz and 1900 MHz spectrum that are re-farmed so that 5G can make use of such spectrum.

Furthermore, a Distributed Antenna System (DAS) is widely used in the wireless infrastructure as it extends coverage to large venues such as stadiums, multi-storied buildings, and convention centers. The DAS amplifies the downlink analog RF signal and provides the amplified signal to passive antennas via a distribution network. The distribution network includes taps, coaxial cables, and splitters. This improves signal quality and provides reliable communications.

DRIVING FACTORS

Increase in Demand for High-speed Internet Connectivity to Drive the Market Growth

Wireless technology is experiencing tremendous growth owing to the introduction of technologically advanced solutions across the globe. The rapid expansion of mobile network coverage has reached remote areas. An increase in demand for wireless technologies results in reduced data usage charges due to growing competition in the industry. Continuous rise in network traffic, deployment of infrastructure, and rising demand for wireless connections due to numerous advantages drive the growth of the market. Growing demand for 5G services and advanced high-speed internet connectivity propels the market growth.

• The U.S. launched 5G services in 2019, and accelerated network connectivity in 2021. Key players, such as AT&T and Verizon introduced their C-BAND spectrum in 2021 and collectively bought USD 68.8 billion.

Furthermore, European operators built their 5G networks. China’s biggest operators, such as China Unicom, China Mobile, and China Telecom, have aggressively added new 5G customers monthly. The Chinese MIIT reports state that the country has well over 700 million 5G subscribers and over 1.3 million 5G base stations. Thus, an increase in demand for fast internet services and better connectivity resulted in continuous innovations in wireless technologies. Rising technological advancements and growing network traffic drive the growth of the market.

Growing Adoption of IoT-based Electronics Devices Boosts the Growth of the Market

Rapid growth in data usage on advanced electronics devices such as smartphones, defense vetronics, and rugged desktops is majorly driving the necessity of wireless networks across the globe. The number of smartphone users and mobile data traffic has witnessed exponential growth in the past few years.

According to a report of Ericsson, there were nearly 1.9 billion Internet of Things (IoT) connected devices in use across the globe in 2024. The number of IoT-connected devices will reach 38.6 billion by 2025 worldwide. The rising use of these devices creates a huge demand for components such as sensors, transmitters, receivers, and processors. Thus, the growing demand for such infrastructure systems and components drives market growth.

• In October 2021, COMSovereign, a U.S.-based developer of 5G Communication Systems and 4G LTE, entered into a partnership with Total Network Solutions (TNS) to explore how blockchain technology could enhance wireless network security in the U.S. Under the project, the companies will develop and incorporate eSIM, advanced multi-factor authentication, and a tokenized Mobile Equipment Identifier (MEID), also known as Enhanced MEID (E-MEID), to record network security data on a blockchain.

Furthermore, the rising demand for advanced electronics devices for digitalization in the aerospace and defense sector will increase the use of internet and network services. Therefore, the network operators are expanding capabilities by providing advanced wireless infrastructure in different countries that drive the market growth.

RESTRAINING FACTOR

Complexities Associated with the Development of Wireless Infrastructure System and Design Architecture Hinder the Market Growth

The successful distribution and coverage of connectivity are the key concerns for manufacturing companies. Technological advancement and new product development are likely to create demand for wireless infrastructure. There are some major concerns in the design and development of such infrastructure, connectivity issues, and delay in standardization that restrain the growth of the market. The rapid expansion of wireless networks on a large scale raises major concerns such as network breach and breach of data privacy that hampers the market growth. Furthermore, when the wireless signals are transferred, these are blocked by certain obstacles such as gates, walls, and human beings. These obstacles result in poor communication, and sometimes it may lead to complete loss of wireless communication. The strength of wireless signals depends upon the range and receivers' location.

The high cost associated with the design and development of various wireless infrastructure components such as sensors, transmitters, receivers, processors, and others hinders the market growth. In addition to that, wireless transmission can be slower and less efficient than wired networks, thus hampering the market's growth.

SEGMENTATION

By Connectivity Type Analysis

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Rapid Adoption of 5G Technology to Boost the Market for Wireless Infrastructure

The market is divided into 5G, 4G & LTE, 3G, 2G, and satellite based on connectivity. The 5G segment is expected to increase at the quickest rate during the forecast period. The global demand for 5G technology is being fueled by the next-generation technology's high speed, broader connection, and low latency. Customers' needs may not be met by 4G technology, which consumes a considerable amount of data and necessitates effective wireless internet service. With the increased use of wireless services and smart devices, networks with more capacity, such as 5G technology, are required. Increased government projects, particularly those involving the digitalization of maritime and defense infrastructure, are expected to boost demand for satellite connections. During the projected period, the increased demand for autonomous vehicle infrastructure and industrial automation is expected to fuel the wireless infrastructure market growth.

By Infrastructure Analysis

Increase in the Installation of Satellite Devices in Commercial Applications to Propel Growth Potentials

By infrastructure, the market is divided into SATCOM, macro cell, Radio Access Network (RAN), small cells, Distributed Antenna System (DAS), cloud RAN, carrier Wi-Fi, mobile core, and backhaul. By 2029, the macro cell category is expected to have the largest heterogeneous network infrastructure market proportion. Macro-cell sites provide a worldwide network area for varied connectivity, including 4G and 5G devices. It is also utilized to boost smartphone, mobile device, and IoT device coverage to support 4G and 5G technology.

The wireless infrastructure comprises mostly multiple macro-cells that cover a radius of almost 20 to 30 kilometers in urban and suburban areas. Existing infrastructure modernization is a lengthy process. This comprises government permissions for the construction of a well-distributed consumer infrastructure. The infrastructure also necessitates the growth of antenna sites in other countries to meet consumer demand. The market is likely to grow in the next few years as demand for wide coverage facilities grows in the urban and semi-urban areas.

By Platform Analysis

Growing Need for Military Communication Devices to be Upgraded to Wireless Connectivity to Propel the Market

By platform, the market is divided into commercial and government & defense. The government & defense segment accounted for the majority of market share in 2021, and it is predicted to increase at a substantial rate over the forecast period. Consumers in developing economies such as China, India, and other countries in Asia Pacific are becoming more active. Due to growing government expenditure to enhance the military and maritime sector to a considerable capability, the government & defense segment is predicted to rise at a quick rate. The majority of countries and regions such as South America are modernizing their communication and satellite systems, which is expected to contribute to the growth of the market in the coming years.

REGIONAL INSIGHTS

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The global market is segmented, based on region, into North America, Europe, Asia Pacific, the Middle East, and the Rest of the World.

According to the study, North America had the greatest market share in 2021. This is owing to the presence of a high number of manufacturers and service providers in the region, which is further ascribed to the huge number of consumers and defense users who support strong expansion during the forecast period.

Due to the presence of important manufacturers and technology heavyweights in this region, such as Inmarsat plc, Ericsson, Three UK, and Deutsche Telekom, Europe held the second biggest in-wireless infrastructure market share in 2021.

According to our market research, Asia Pacific is expected to grow rapidly over the next few years, owing to considerable increases in commercial mobile customers and internet users in developing nations such as India and China.

Furthermore, due to a large number of mobile users in these regions, the market in the Middle East is expected to grow at a considerable CAGR. The region's tourist sector is predicted to develop, resulting in market expansion in the Middle East. Furthermore, due to the rise in global wireless communication devices, the market in the rest of the world is expected to grow rapidly.

KEY INDUSTRY PLAYERS

Strategic Acquisitions and Collaborations as well as Technological Advancements are Crucial Strategies for Strengthening Market Position.

The market's competitive landscape highlights the dominance of a few key competitors, including Huawei Technologies Co., Ltd., Qualcomm Technologies Inc., ZTE Corporation, and NEC Corporation, among others. The dominance of these firms can be attributed to their comprehensive wireless product range of hardware, software solutions, and equipment, as well as considerable expenditure on R&D and strategic acquisitions.

These well-known businesses are pursuing various expansion methods, including mergers, collaborative partnerships, and acquisitions. The companies are concentrating on new product development, product introduction, long-term contracts with service providers, and long-term partnerships with OEMs, all of which are expected to increase their market position in the wireless industry.

LIST OF KEY COMPANIES PROFILED:

• Capgemini Engineering (France) 


• Ciena Corporation (U.S.)


• Cisco Systems, Inc. (U.S.)


• D-Link Corporation (Taiwan)


• Fujitsu (Japan)


• Huawei Technologies co., Ltd. (China)


• NEC Corporation (Japan)


• NXP Semiconductor (Netherlands)


• Qualcomm Technologies Inc. (U.S.)


• ZTE Corporation (China)


• Telefonaktiebolaget LM Ericsson (Sweden)


• Nokia (Finland)


• SAMSUNG (South Korea)


• Mavenir (U.S.)

KEY INDUSTRY DEVELOPMENTS:

• April 2022 - Cisco Systems Inc. and Telenor Group signed a Joint Purpose Agreement (JPA) to empower societies through a better and more secure internet.


• July 2021 - Ericsson and Verizon reached a USD 8.3 billion multi-year 5G agreement. To strengthen and grow Verizon's world-class 5G network, Ericsson will deploy industry-leading 5G solutions, including Massive MIMO, Ericsson Cloud RAN, and software.


• June 2021 - Vodafone selected Capgemini Engineering to develop the first Open Radio Access Network commercial deployment in Europe. It is important as Vodafone will now be a "brownfield" telco vs greenfield telcos like Rakuten Mobile and Dish Network building 4G/5G Open radio access networks RANs.

REPORT COVERAGE

An Infographic Representation of Wireless Infrastructure Market

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The market report provides a detailed analysis of the market and focuses on key aspects, such as product launching, networking technologies, hardware, software systems, market players, and growth opportunities. Moreover, the research report offers insights into key market trends, competitive landscape, market competition, product pricing, market status, and key industry developments. In addition to the factors mentioned above, the report encompasses several direct and indirect factors that have contributed to the sizing of the global market growth in recent years.

Report Scope & Segmentation