Need to overhaul network architecture and enhance security will drive the market for 5G testing equipment, finds Frost & Sullivan
Santa Clara, CA /PRNewswire/ - A recent analysis by Frost & Sullivan has revealed that the need for equipment to test the 5G ecosystem at the chipset, device, network layer, and application layer levels will rise as 5G networks continue to proliferate throughout key global markets. The global 5G testing equipment and solutions market is expected to reach $2 billion by 2024, expanding at a CAGR of 11.5%, driven by the demand for specific testing solutions to validate 5G-based devices and chipsets.
"5G has just broken ground, with limited deployments across South Korea, other countries across the Asia-Pacific, and North America," said Rohan Joy Thomas, Industry Analyst, Measurement and Instrumentation at Frost & Sullivan. "As new functionalities that enable IoT use cases are added upon 5G, it will influence the demand for testing equipment used to test those specific IoT functionalities."
Frost & Sullivan's latest research, Global 5G Testing Equipment and Solutions Market, Forecast to 2024, takes a holistic look at important trends within the 5G ecosystem and their implications on the communications testing industry. The research analyzes how the demand for specific test equipment will vary across regions during the forecast period, takes a comprehensive look at key participants across product segments, and explores the important opportunities for growth that testing equipment vendors can capitalize on.
For further information on this analysis, please visit: http://frost.ly/3zy
The market is set to grow at a healthy double-digit growth rate between 2018 and 2024. Growth of certain product segments will appear sluggish because, initially, the 5G network that is deployed commercially will not have full functionality. However, as 5G becomes more commonplace, the demand for testing equipment used for its validation will rise. In 2024, the Asia-Pacific region will account for 42.8% of the total market revenue, followed by North America and Europe with shares of 33.8% and 18.1%, respectively.
"The push for greater bandwidth will require enhanced fiber-optic technology, thereby driving demand for fiber-optic testing equipment," noted Thomas. "As 5G continues to gain strength, the need for testing solutions that can validate the performance of the high-density data will also increase."
Communications testing vendors can explore the growth opportunities in:
- Offering solutions that can test the entire 5G ecosystem.
- Providing asset optimization services and integrated core testing capabilities to enhance cost efficiency.
- Incorporating enhanced AI/ML capabilities into their solutions to help clients better manage data traffic.
- Offering solutions that have enhanced capabilities to test different levels of security.
Global 5G Testing Equipment and Solutions Market, Forecast to 2024, is a part of Frost & Sullivan's Measurement & Instrumentation Growth Partnership Service program, which helps organizations identify a continuous flow of growth opportunities to succeed in an unpredictable future.
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Global 5G Testing Equipment and Solutions Market, Forecast to 2024