Small Cell 5G Network Market Size, Share & Trends Analysis Report By Component (Hardware, Services), By Network Model, By Network Architecture, By Deployment Mode, By Frequency Type, By End-user, And Segment Forecasts, 2022 - 2030

Small Cell 5G Network Market Size, Share & Trends Analysis Report By Component (Hardware, Services), By Network Model, By Network Architecture, By Deployment Mode, By Frequency Type, By End-user, And Segment Forecasts, 2022 - 2030

Small Cell 5G Network Market Growth & Trends

The global small cell 5G network market size is anticipated to reach USD 1,25,764.04 million by 2030, registering a CAGR of 72.7% over the forecast period, according to a new report by Grand View Research, Inc. The deployment of next-generation small cell 5G networks is estimated to witness significant growth over the forecast period. This is attributable to the increasing demand for the 5G network from a massive chunk of customers at public locations such as malls, offices, and stadiums. The ever-rising demand for fast mobile data connectivity among consumers has surged the deployment of the next-generation Radio Access Network (RAN). The installation of small cell 5G networks is rapidly increasing in enterprises, industrial, and residential applications to provide enhanced coverage capacity at an affordable cost.

Rapidly rising mobile data traffic across the globe enables telecom operators to migrate toward network densification to provide high-speed capacity to mass consumers. The rise in the number of smart cities, especially in developed countries such as the U.S., Canada, Singapore, UK, Germany, Italy, and France has augmented the deployment of small cell 5G networks for several applications.

Also, the demand for 5G data services for several use cases, including Ultra-high Definition (UHD)/4K video, seamless video calling, and cloud-based VR/AR gaming, is rapidly mounting. As a result, it is further anticipated to boost the market growth over the forecast period. The small cell 5G network is anticipated to facilitate telecom operators to fulfill the demand for enhanced data connectivity for several industrial and enterprise business applications.

Some of the largest economies, such as the U.S. and China, are expected to continue spending insistently on provisioning healthcare facilities. The healthcare industry, especially in developed economies, has begun emphasizing remote diagnosis and patient surgeries. Additionally, the COVID-19 pandemic has enabled several key countries to build more robust healthcare capabilities through investing in advanced technologies such as 5G infrastructure. Thus, to deliver constant data connectivity during remote patient surgeries and telemedicine, the demand for a small cell 5G network is expected to drive market growth from 2022 to 2030.

The outbreak of COVID-19 slowed down the implementation of 5G infrastructure owing to the interruptions in further trials and testing needed for validating the stability and processing performance of 5G networks. Additionally, due to the COVID-19 pandemic, countries such as U.S., Germany, and China have seen a robust decline in the trade of small cell telecom equipment for 5G New Radios (NR). Disruptions caused by the COVID-19 pandemic delayed the implementation of 5G networks to a certain extent as it halted the testing and QA activities necessary for verifying the processing performance and stability of 5G standalone networks. Moreover, the labor shortage and the complete disruption of across supply chains worldwide caused the delay in 5G network deployment, impacting the overall market growth in the first and second quarters of 2020.

The report covers the competitive analysis of top fifteen players in the market which includes Huawei Technologies Co., Ltd.; Nokia Corporation; Samsung Electronics Co., Ltd.; Telefonaktiebolaget LM Ericsson; Comba Telecom Systems Holdings Ltd.; Altiostar; Airspan Networks; Ceragon; ZTE Corporation; Fujitsu Limited; CommScope Inc.; Contela; Corning; Baicells Technologies. Leading players are actively making partnerships and agreements with key telecom operators to expand their geographical presence. In September 2019, Ericsson made an agreement with KT Corporation to deploy Ericsson’s indoor small cell product for enterprise applications. Besides, in July 2019, Swisscom, a Switzerland-based telecom operator, in a partnership with Ericsson, deployed small cells in Switzerland for indoor applications.

Small Cell 5G Network Market Report Highlights

• The market is expected to witness at a CAGR of 72.7% over the forecast period owing to rising ever-rising demand for fast mobile data connectivity among consumers has surged the deployment of the next-generation Radio Access Network (RAN).
• Based on the type, the femtocell segment accounted for the largest revenue share of over 53.8% in 2021. This is attributed to its increasing demand to attain unified bandwidth coverage for several enclosed applications such as malls, homes, offices, and hospitals. Small cells are mainly available into three categories, including femtocells, picocells, and microcells, based on their different ranges. The covering bandwidth ranges of femtocells, picocells, and microcells encompass up to 50 meters, up to 250 meters, and up to 3 Kilometers, respectively.
• The network model segment comprises large standalone and non-standalone. The non-standalone segment dominated the market in 2021 and is expected to witness a significant CAGR of 81.3% over the forecast period. The non-standalone network is generally deployed in integration with the existing legacy network infrastructure.
• The network architecture segment is categorized in virtualized and distributed segments. In terms of value, virtualized network architecture dominated the market with a share of more than 61.6% in 2021. This is attributed to a robust deployment of a small cell 5G network with a centralized baseband unit controllable architecture. This helps service providers to reduce the Total Cost of Ownership (TCO) and increase the overall flexibility of the network by managing virtually all the small cell base stations.
• Based on deployment mode, the market is segmented into indoor and outdoor segments. the indoor segment dominated the market with a share of exceeding 78.2% in 2021. This is attributed to the reliable deployment of next-generation small cells across several residential and non-residential applications. The non-residential uses mainly involve enterprises, retail malls, airports, and hospitals, among others.
• Based on frequency type, the market is segmented into sub-6 GHz, mmWave, and sub-6GHz + mmWave segments. The sub-6 GHz dominated the market with a share of more than 69.8% in 2021. This is attributed to the enormous investments by key communication service providers in acquiring low and mid-band frequencies to deliver high bandwidth services to consumers, businesses, and industries.
• Based on end-user, the market is segmented into residential, commercial, industrial, smart city, transportation & logistics, government & defense, and others segment. The commercial segment dominated the market with a share of nearly 41% in 2021. This is attributed to the growing deployment of small cell 5G networks across large as well as Small and Medium Enterprises (SMEs) across the globe. This 5G RAN network helps enterprises cater to the demand for massive data capacity and coverage needs at a very affordable cost.
• Asia Pacific dominated the market in 2021 and accounted for the largest revenue share of more than 33.2%, the aggressive deployment of 5G new radio infrastructure by major communication service providers such as KT Corporation; China Mobile Limited; Rakuten Mobile, Inc.; and NTT Docomo Inc. Consequently, the market in the region is anticipated to experience robust growth over the forecast period.