5G infrastructure market to depict a CAGR of 29% through 2026

The research report on ‘5G infrastructure market’ offers a thorough analysis of the overall industry in terms of the growth drivers and ongoing technological trends that are expected to potentially drive the overall 5G infrastructure market over 2019-2026.

The global 5G infrastructure market was valued at over USD 9.77 billion in 2019 and is estimated to reach USD 58.08 billion by 2026, increasing at a growth rate of more than 29 per cent over 2019-2026. Mounting demand for 5G infrastructure from various applications including industrial, healthcare, and automotive, in tandem with rapidly evolving IoT market is expected to drive the overall 5G infrastructure market over the foreseeable time period. In addition to this, rising government investments for the establishment of infrastructure supporting 5G, would also further propel the global market in the upcoming years.

Further, the impact of COVID-19 on the overall 5G infrastructure market has also been specified in the market study. The market analysis also constitutes of challenges and threats that are expected to deter the industry growth over the forecast period.

Request Sample copy of this Report @ https://www.marketstudyreport.com/request-a-sample/2452711/

5G infrastructure consists of macro-and small-cell base stations with new edge computing capabilities. In a 5G network, the network functions on a software unlike conventional networks which function on a hardware. Moreover, 5G networks operate under a wireless high-frequency technology bandwidth for establishing smooth communication and networking. It also functions under small transmitters that consumes less power, compared to other traditional networking technologies.

Working towards the expansion of this industry, the European Commission had in 2013 established a Public Private Partnership on 5G which is expected to be in operation by 2025 end. Alongside, the ruling body also announced a public finding amounting to nearly 700 million euros via Horizon 2020 program to support the activity. All European union member countries are anticipated to enhance this investment five folds, thereby reaching an amount of 3 billion euros by the end of 2025. In lieu of these investments, companies have begun integrating 5G support in their products including smart phones, eventually fueling the market growth.

Regional analysis

The overall global 5G infrastructure industry is diversified in vivid geographies such as North America, Asia Pacific, Europe, Latin America, and Rest of the World. Of these, North America is poised to emerge as a lucrative growth ground for 5G infrastructure market, owing to high adoption of technology paired with a robust network infrastructure to support 5G in the region.

Meanwhile, Asia Pacific is also expected to acquire a considerable stake in the overall 5G infrastructure industry share over the forecast period. This can be attributed to the rising economic affluence and increasing investment in the expanding 5G network across the region.

COVID-19 impact on global 5G infrastructure market 

The ongoing COVID-19 pandemic has not only claimed umpteen lives but has also slowed down the global economy and various business. The impact of this pandemic spread has also been felt across the 5G infrastructure market, prompting it to witness a downfall over the past few months. This is ascribed to the shutdown of production facilities which has adversely impacted the production and sales of 5G smart phones and other devices.

Considering a temporary halt in smartphone production, shipment of these products have witnessed a decline that was over 35 per cent in January and 55 per cent in February 2020. Expanding subscriber base has always been one of the major sources of revenue for the 5G infrastructure which is now facing severe crisis owing to the decrease in sales. Additionally, closure of the retail shops and stringent government norms regarding self-isolations has brought about financial instability among the population, thus generating lack of interest in 5G technology adoption due to higher costs.

Also, lockdown has introduced delays in launch of 5G specifications slowing down the 5G ecosystem. 3GPP, a global association working towards the development of world’s 5G technology had earlier announced a three-month delay in the timeline for completion of 5G specifications by March this year.

Source: Market Study Report LLC media announcement