5G Device Testing Market Analysis

Global 5G Device Testing Market Overview

5G Device Testing Market Size was valued at USD 1.4 Billion in 2022. The 5G Device Testing Market industry is projected to grow from USD 1.50 Billion in 2023 to USD 2.68 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 7.50% during the forecast period (2023 - 2032). The market is expected to experience positive growth, due to the continuous growth of the telecommunications subscriber base and the rapid urban population expansion is the key market driver enhancing the market growth.

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

5G Device Testing Market Trends

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  Growing telecommunications user base and global R&D activities are driving the market growth

  
  

Market CAGR for the 5G device testing is being driven by the growing telecommunications user base and global R&D activities. Additionally, the increasing adoption of 5G network deployment and the implementation of software-defined testing are pivotal drivers propelling the growth of the 5G test equipment market throughout the forecast period. Furthermore, the emergence of a hyper-connected world is a significant catalyst expected to boost the demand for 5G test equipment. Countries like India and China, along with other developing nations, are witnessing a surge in the use of connected devices, leading to increased data traffic within networks. This necessitates the establishment of secure, reliable, and efficient networks. For instance, in February 2020, IoT hardware solution provider platform Cavli launched a significant 5G test network in India, indicative of the transformative impact of 5G technology, especially in the domains of smart cities and industries globally.

The rise of new applications and business models, coupled with reduced device costs, has facilitated the adoption of the Internet of Things (IoT) and consequently, a proliferation of connected devices. This includes connected automobiles, machinery, meters, wearables, and consumer electronics, all of which have significantly contributed to the market's growth. The advent of IoT and machine-to-machine connections, which have been instrumental in driving the market, aligns with the ongoing Industrial Revolution 4.0, thereby fostering cellular connectivity advancements across various industries.

As a result, it is anticipated that throughout the projection period, demand for the 5G Device Testing Market will increase due to the growing telecommunications user base and global R&D activities. Thus, driving the 5G Device Testing Market revenue.

5G Device Testing Market Segment Insights

5G Device Testing Market Equipment Insights

The 5G Device Testing Market segmentation, based on Equipment includes Oscilloscopes, Signal Generators, Spectrum Analyzers, Network Analyzers, and Others. The network analyzers segment dominated the market, accounting for 55% of market revenue (0.77 Billion). Network analyzers are instrumental in assessing the quality of signals and data transmission in 5G devices. They help identify and troubleshoot any signal distortions, interference, or anomalies, ensuring that devices meet stringent quality standards.

5G Device Testing Market End User Insights

The 5G Device Testing Market segmentation, based on End User, includes IDMs & ODMs, and Telecom Equipment Manufacturers. The IDMs & ODMs segment dominated the market, accounting for 58% of market revenue (0.81 Billion). IDMs are companies that design, manufacture, and market their own semiconductor devices and integrated circuits. They typically possess in-house testing capabilities to ensure the quality and functionality of their 5G devices. This includes testing for components like processors, modems, and radio frequency (RF) chips that are integral to 5G devices.

Figure 1: 5G DEVICE TESTING MARKET, BY END USER, 2022 & 2032 (USD BILLION)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

5G Device Testing Market Regional Insights

By region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The region witnessed a notable increase in the deployment of 5G infrastructure. This rollout was driven by the pressing need for enhanced connectivity, faster data speeds, and low latency. Government initiatives also played a role in bolstering the 5G technology ecosystem. For instance, in October 2022, EXFO, a technology company, secured substantial funding of USD 15.9 million from the federal government of Canada. This funding was aimed at accelerating the development of 5G technology and generating employment opportunities in Canada.

Further, the major countries studied in the market report are The US, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: 5G DEVICE TESTING MARKET SHARE BY REGION 2022 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe's 5G Device Testing Market accounts for the second-largest market share as Europe is poised to experience a surge in demand for 5G services, driven by the increasing need for higher data speeds in both commercial and residential applications. As part of the Europe 2020 strategy, there is a concerted effort to ensure that high-speed broadband, exceeding 100 Mbps, is made accessible to a significant number of European countries. The strategy also sets an ambitious goal for approximately 50% of European households to adopt ultra-fast broadband by the year 2020. According to estimations by the European Commission, substantial investments totaling €56.6 billion in 5G technology are anticipated to yield substantial economic benefits, amounting to €113.1 billion annually. Furthermore, this investment is projected to create significant employment opportunities, with an estimated 2.3 million jobs expected to be generated in Europe by the year 2025. This heightened demand, in turn, is expected to create a substantial market for 5G testing equipment. Further, the German 5G Device Testing Market held the largest market share, and the UK 5G Device Testing Market was the fastest-growing market in the European region

The Asia-Pacific 5G Device Testing Market is expected to grow at the fastest CAGR from 2023 to 2032. APAC is home to a significant portion of the world's population, resulting in a large and diverse consumer base. The demand for 5G-enabled devices, including smartphones, IoT gadgets, and other electronics, is robust. According to the GSMA’s Mobile Economy APAC 2023 Report, 5G will account for over two-fifths (41%) of mobile connections in the Asia Pacific (APAC) region by 2030, up from 4% in 2022.  Additionally, enterprises across various industries are adopting 5G technology for applications such as Industry 4.0, smart cities, and healthcare, further driving the need for reliable 5G devices. Moreover, China’s 5G Device Testing Market held the largest market share, and the Indian 5G Device Testing Market was the fastest-growing market in the Asia-Pacific region.

5G Device Testing Market Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the 5G Device Testing Market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the 5G Device Testing industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global 5G Device Testing industry to benefit clients and increase the market sector. In recent years, the 5G Device Testing industry has offered some of the most significant advantages to telecommunications companies, manufacturers, and consumers alike. Major players in the 5G Device Testing Market, including Anritsu, Rohde & Schwarz, KeysightTechnologies, NATIONAL INSTRUMENTS CORP, TEKTRONIX, INC, Teradyne, VIAVI Solutions, Artiza Networks, Inc, EMITE, EXFO, are attempting to increase market demand by investing in research and development operations.

Anritsu is a prominent provider of communication solutions, offering a wide range of precision measuring instruments, optical and mobile communications equipment, as well as radio frequency/microwave communication tools. Additionally, the company supplies inspection equipment, automatic combination weighers, check weighers and comprehensive production management systems. Anritsu's products and services cater to diverse industries, including optical communication, broadcasting, multimedia, and the food and pharmaceutical sectors, among others. The company maintains a global presence, with operations spanning various countries, including Australia, Brazil, Canada, China, Denmark, France, Germany, India, Italy, Mexico, Romania, Singapore, South Korea, Sweden, Taiwan, the UAE, the UK, and the US. Anritsu's headquarters are located in Atsugi, Kanagawa, Japan. In February 2023, Anritsu strategically collaborated with Spirent Communications to jointly develop Open RAN test solutions. This partnership aims to bolster Anritsu's position in the competitive 5G testing market, enhancing its overall market presence and competitive advantage.

Keysight Technologies specializes in providing comprehensive electronic design and test solutions. The company offers a range of software design tools and services that play a vital role in the entire lifecycle of electronic systems, from design and simulation to development, manufacturing, deployment, validation, optimization, and secure operation. Keysight goes beyond software by providing a suite of support services, including startup assistance, application services, uptime services, asset management, instrument calibration, and repair services. They also offer customization, consulting, and optimization services to cater to customers throughout their product lifecycle. The company serves a diverse clientele spanning various industries such as aerospace and defense, automotive, healthcare, energy, semiconductor, e-commerce, commercial communications, networking, general electronics, retail, education, government, and other service providers. Keysight operates globally, with a presence in the Americas, Europe, and the Asia Pacific region, with its headquarters located in Santa Rosa, California, USA. In a significant move in January 2023, Keysight Technologies entered into a strategic partnership with Qualcomm Technologies, Inc. This collaboration is focused on advancing 5G Non-terrestrial Network (NTN) technology, with the aim of delivering cost-effective broadband connectivity in remote and inaccessible areas.

Key Companies in the 5G Device Testing Market include

• Anritsu


• Rohde & Schwarz


• Keysight Technologies


• NATIONAL INSTRUMENTS CORP


• TEKTRONIX, INC


• Teradyne


• VIAVI Solutions


• Artiza Networks, Inc


• EMITE


• EXFO

5G Device Testing Industry Developments

March 2023: Anritsu Corporation and Artiza Networks joined forces to create a robust Open RAN test solution. This strategic collaboration leverages network point specifications, in line with the Open RAN concept, to bring about several key benefits. These include cost reduction, the ability to source equipment from multiple vendors, and the deployment of Artificial Intelligence (AI) applications as a consistent driver of business prospects. Both versatile network administrators and device manufacturers are actively advancing Open RAN testing and implementation. This momentum is largely fueled by industry associations and initiatives, with the O-RAN Alliance playing a pivotal role in driving innovation and adoption within the telecommunications sector.

February 2023: Keysight Technologies introduced an innovative solution built around its 5G Network Emulation Platform. This advanced network emulator is designed to excel in various critical areas, encompassing functional testing, protocol evaluation, radio frequency testing, and comprehensive support for all cellular IoT technologies, including RedCap.

5G Device Testing Market Segmentation

5G Device Testing Market Equipment Outlook

• Oscilloscopes


• Signal Generators


• Spectrum Analyzers


• Network Analyzers


• Others

5G Device Testing Market End User Outlook

• IDMs & ODMs


• Telecom Equipment Manufacturer

5G Device Testing Market Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America