The global 5G wireless communications chipset market is estimated to have been worth $4.85 billion in 2021 and is expected be worth $17.11 billion by 2026, growing at a compound annual growth rate of 28.67 percent, according to a Dublin firm, Research and Markets..
“The market is anticipated to witness a growth in demand owing to rapid development in automated devices, drones, home automation devices, autonomous driving, multiuser gaming, videoconferencing, live streaming, telemedicine and augmented reality,” a statement from Research and Markets reads. “The significant advantages of 5G network would be its low latency and greater bandwidth. Higherbandwidth allows more data to flow through the network, while lower latency enables the time taken to travel from one point to another in the minimum amount of time.”
Moreover, according to Research and Markets, other favorable characteristics of 5G include high coverage, low power consumption for mobile phones and IoT devices, and maximum network availability. An increase in mobile broadband use is expected to underpin the growth of the global 5G chipset market, the company said. It said the demand for higher internet speed by the consumers met by the 5G network and increased demand for mobile data services is expected to boost the global 5G chipset market remarkably.
“The establishment of the 5G standard requires very high infrastructure cost in the deployment of multiple low-power base stations to meet the growth in demand for higher network capacity,” the company said. “This is expected to restrict the market growth in the early stages.”
On the other hand, according to Research and Markets, the integration of 5G services with satellite communication and strategic partnerships with system integrators in developing economies provide lucrative growth opportunities for the market.
The company offers further detail in its report, “Global 5G Chipset Market Is Further Based on Industry Vertical, Product, Integrated Circuit, and Geography, Competitive Analysis and the Impact of Covid-19 with Ansoff Analysis.”