LTE Equipment Market Poised to Expand at a Robust Pace by 2025

Global LTE Equipment Market: Snapshot

LTE (long term evolution), marketed as 4G LTE, is a wireless communication standard for high-speed data used by data terminals and mobile phones. LTE equipment can be defined as the various components required for the effective operation of LTE network and its protocols. LTE offers a superior user experience for next-generation mobile broadband. LTE networks are constantly evolving and is paving the way to 5G with the introduction of new capabilities. The requirement of improved data speed, demand for bandwidth and increasing data consuming applications and services are driving the demand for LTE networks.

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The sudden and massive rise in availability of internet-enabled devices such as smartphones, and tablets are also driving the growth of LTE equipment market. Moreover, telecom operators and government organizations are investing in 4G networks, which is responsible for the growth of LTE equipment market. Furthermore, growing demand for high-bandwidth data services by consumers is compelling telecom operators to provide efficient services at lower costs.

The global LTE equipment market was valued at US$18.27 bn in 2016 and is forecast to expand at a CAGR of 21.4% from 2017 to 2025, reaching a value of US$104.49 bn in 2025.

global lte equipment market

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Commercial Sector to Prove to be More Lucrative

The global LTE equipment market has been segmented on the basis of component, technology, application and geography. On the basis of component, the market is categorized into LTE infrastructure and LTE testing Equipment. LTE infrastructure has large market share due to increasing deployments of base stations by the players to increase network coverage area. LTE base station is one of the major component of LTE network. LTE equipment are deployed in overall end-to-end network infrastructure.

On the basis of application, the market has been classified into commercial and government segment. The commercial segment holds large share as the businesses utilizes LTE equipment for safety infrastructure, remote diagnostics and for simplified network management. There is rise in adoption of public safety LTE which is contributing in the growth of LTE equipment in government sector. On the basis of technology, the market is segment into TD-LTE, LTE-FDD and hybrid. LTE-TDD provides strong device support and wireless technology adoption. Due to faster adoption of TD-LTE by the network providers, the TD-LTE segment of LTE equipment is expected to grow at a faster rate during the forecast period.

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Asia Pacific to Remain at Forefront of Developments in the Market

Asia Pacific and North America accounted for the largest and second-largest share, respectively, of the global LTE equipment market in 2015. The primary drivers for the growth of LTE equipment market in North America region are demand for improved data services and end to end network services. Asia Pacific region is anticipated to experience promising growth in the LTE equipment market during the forecast period. This is mainly due to the increasing investments by telecom operators such as Bharti Airtel, Vodafone and Ericson AB in developing countries such as India and China from this region. Europe holds significant market share in the LTE equipment market. There is rapid increase in the number of mobile long-term evolution (LTE) subscribers in this region.

Over the last few years, operators have changed the way they used to work earlier. Traditional business approach is getting replaced with business approach which is cost controlled along with quality and efficiency. Players are focusing on providing efficient services to customers for which they are investing heavily in research and development of technologically advanced equipment. The key players in the global LTE equipment market profiled in the report include Ericsson AB, Fujitsu Limited, Huawei Technologies Co., Ltd, Motorola Solutions, Nokia Corporation, NEC Corporation, AT&T Inc., Sprint Corporation, Telrad Networks and ZTE Corporation.

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