Here we explore how important it is to test solutions as we approach the arrival of fifth-generation (5G) wireless technology. Strong testing tools are in high demand as the globe realizes the revolutionary potential of 5G networks. This is owing to the fact that 5G infrastructure and devices are reliable, performant, and interoperable. Come along as we explore the ever-changing environment of the 5G Testing Equipment industry, identifying the major trends, obstacles, and opportunities that are influencing its future.
Unveiling the significance of 5G Testing Equipment
It is important to comprehend the significance of 5G testing equipment before delving into the industry dynamics. As 5G promises never-before-seen speeds, extremely low latency, and widespread connectivity, thorough testing is necessary to confirm network coverage, functionality, and dependability. To meet the particular difficulties presented by 5G technology, a wide range of instruments and solutions, such as network analyzers, signal generators, channel emulators, and protocol testers, are included in the category of 5G testing equipment.
Application of 5G Testing Equipment Industry
- Network Deployment and Optimization- To verify coverage, signal strength, and network performance, 5G testing equipment shall be used during the initial deployment phase of 5G networks. It helps to identify areas of signal interference, optimize the placement of antennas, and ensure a smooth connection across the whole network.
- Security Testing - Security tests are becoming increasingly important in light of the proliferation of interconnected devices and IoT applications on 5G networks. To identify vulnerabilities, detect security gaps, and ensure data integrity and privacy in a network, 5G testing equipment shall be deployed.
- IoT and Smart City Testing- 5G testing equipment is used to evaluate IoT device and application performance in smart city deployments. Reliable data transmission is crucial for IoT sensors, actuators, and connected devices to provide essential services like intelligent transport, energy management, and public safety.
- 5G Backhaul and Transport testing- For the verification of the performance of the backhaul and transport networks connecting 5G base stations to the core network, testing equipment is necessary. It is designed to provide a low latency, high bandwidth, and effective transfer of data among network components.
Why is the 5G Testing Equipment Market growing in the Telecommunication Industry?
The 5G testing equipment sector is experiencing rapid growth in the telecommunication industry due to several key factors.
- 5G networks have been rapidly deployed worldwide to support emerging technologies like IoT, AR, and autonomous vehicles. A comprehensive evaluation of the infrastructure is necessary to ensure network performance, reliability, and security.
- 5G technology's complexity requires advanced testing methods and tools, such as massive MIMO, beamforming, and network slicing. Telecom operators and equipment manufacturers are investing heavily in testing tools to ensure 5G networks' functionality and interoperability.
- The need to address the technological complexity, ensure network reliability and performance as well as comply with regulatory standards in a rapidly evolving 5G telecommunications landscape is driving the growth of testing equipment for 5G.
Also, communications testing vendors can explore growth opportunities through:
- The solutions that will allow the 5G ecosystem to be tested.
- To increase cost efficiency, provide asset optimization services and integrate core test capabilities.
- To help clients better manage data flows, they have integrated more advanced AIML capabilities within their solutions.
- To test various levels of security, we offer solutions with enhanced capabilities.
Industry Outlook
The global demand for 5G testing equipment is expected to develop at a 10% CAGR from 2024 to 2036, when it will reach USD 6 billion. The market for 5G testing equipment was valued at USD 2 billion in 2023. The global increase in 5G mobile smartphone subscribers is the driving force behind the expansion. A boost in budget penetration is driving an annual increase in 5G mobile subscribers, and as 5G networks advance, so does their availability.
For illustration, global smartphone mobile network subscriptions came to over 6.4 billion in 2022, and by 2028, it is expected to surpass 7.7 billion.
The sector for 5G Testing equipment can be influenced by various factors. These may include:
- Deployment of 5G Networks- Continuous global deployment of 5G networks has a significant impact on the market for 5G test equipment. With the deployment of 5G infrastructure by telecom operators and network equipment manufacturers, testing tools are becoming increasingly important to ensure that these networks operate correctly, reliably, or interoperably. The use of 5G technology accounted for approximately one-tenth of all connections worldwide by 2022 and is expected to increase to more than half over the next decade.
- Rising Need for Network Security- As a result of the proliferation of connected devices and increasing digitization of essential infrastructures, there is growing concern about cybersecurity risks in 5G networks. In 2023, there was a significant increase in cyber-attacks that led to over 343 million victims. The number of data breaches increased by 72% between 2021 and 2023. The testing of devices capable of assessing 5G networks and their security vulnerabilities is becoming increasingly essential.
- Demand for better Data Rates and Lower Latency- As network operators provide better data rates and lower latency compared to previous generations of cellular networks, they are increasingly obliged to comply with these performance criteria. Testing equipment is necessary to verify that 5G networks are meeting these performance requirements.
- Growing demand for Field Testing and Optimization- Field testing tools, which allow maximum network coverage, capacity, and quality of service whilst validating 5G network performance on actual field conditions, are increasingly needed alongside laboratory trials.
Segmentation Analysis
Equipment Type
- Oscilloscopes
- Signal Analyzers
- Signal Generators
- Network Analyzers
The Oscilloscopes segment is established to hold the majority market share. The growth of this segment can be attributed to its extensive use in the aerospace, telecommunications, medical, engineering, and automotive industries. They are also used for evaluating wireless signals, including 5G NR.
End-User
- Telecom Equipment Manufacturers
- IDMs & ODMs
- Telecom Service Providers
The Telecom Equipment Manufacturers segment is set to attain the largest market share. This is ascribed to the global expansion of the long-term evolution, or LTE network, and the implementation of 5G networks. Test equipment access multiplexers, transmission lines, base transceiver stations, and other components are used by telecommunications equipment manufacturers.
Regional Analysis
Asia Pacific- The region’s growth is fueled by rapid economic development, Significant investments in testing infrastructure and solutions are being made in countries such as China, Japan, and South Korea, which are at the forefront of 5G technology adoption and deployment. In 15 Asia Pacific countries, 29 operators have started 5G commercial services since the end of March 2023. By 2030, 1 billion people in Asia Pacific are expected to be using 5G services according to estimates provided by the Research Nester analysts. urbanization, and increasing demand for high-speed connectivity.
North America- The region is home to several major telecom equipment manufacturers, testing equipment vendors, and research institutions, driving innovation and growth in the market. The expansion of the market in North America is also supported by favorable regulatory policies, government initiatives, and cooperation among industry stakeholders.
Europe- Market growth in this region is supported by the EU's Digital Single Market initiative and investments in 5G research and development. The demand for comprehensive testing solutions in Europe is driven by stringent regulatory requirements and standards applicable to telecommunications equipment and services.
Dominating Companies
- ANRITSU CORPORATION
- Artiza Networks, Inc.
- TEKTRONIX, INC.
- Keysight Technologies
- Teradyne Inc.
Key Innovations
April 2024- Anritsu Corporation expands the capabilities of the Signaling Tester MD8430A to support NTN NB-IoT4 as described in 3GPP Release 17 with the release of the protocol test1 solution for Non-Terrestrial Network (NTN)2 devices for GEO3 satellites.
February 2024- In partnership with NVIDIA, Keysight Technologies, Inc. developed a comprehensive design pipeline for neural receiver validation and training, which will be showcased at Mobile World Congress Barcelona in 2024.
May 2023- A new version of the Double Pulse Test solution (WBG-DPT solution) was released by Tektronix, Inc., a well-known supplier of test and measurement equipment. The Tektronix WBG-DPT solution can deliver automated, repeatable, and accurate measurements on wide bandgap devices like SiC and GaN MOSFETs, which are being made possible by new wide bandgap switching technologies that are enabling substantial advancements in electric vehicles, solar energy, and industrial automation.
Future Outlook
The COVID-19 outbreak has transformed the growth of various industries. However, the immediate impact of the pandemic is varied as few industries will register a decrease in demand, and the remaining will be unscarred showing promising growth as they continue to gain new opportunities. As operators are scaling 5G deployment, they need high-end 5G measuring equipment to perform 5G network testing. Although the pandemic has caused a delay in the 5G rollout, the 5G test equipment market is poised to grow as mentioned above during the years 2020-2024. It is also seen that there is a rise in demand for data traffic control which is expected to fuel the fifth-generation technology, leading to an exponential growth in the 5G test equipment market. Furthermore, the need for connectivity in today’s smartphones, connected cars, wearable gadgets, smart home devices, and other consumer electronic devices is likely to propel the demand for 5G test and measurement equipment.
Conclusion
The demand for 5G testing equipment is at the vanguard of technical advancement and is essential to the smooth adoption of 5G wireless technology. The need for sophisticated testing solutions will only grow as 5G networks spread and change, spurring industry innovation, investment, and cooperation. The market for 5G testing equipment is expected to grow rapidly and experience significant disruption in the years to come due to its revolutionary potential to open up new possibilities and capabilities. We appreciate you joining us as we explore the market for 5G testing equipment, and we can't wait to see all the exciting innovations that are yet to come.
Source: https://www.researchnester.com/reports/5g-testing-equipment-market/5831