A recently published research report by Meticulous Market Research shows that the 5G chipsets market will likely benefit from rising government initiatives to build smart cities. The 5G chipsets market is expected to grow at a CAGR of 52.7% from 2020 to 2027 to reach $23.5 billion by 2027, according to the report.
Succeeding an extensive secondary and primary research and in-depth analysis of the market scenario, the report carries out an impact analysis of the key industry drivers, restraints, and opportunities. Factors such as the growing demand for high-speed data services, rapidly developing smartphone technology, and the proliferation of IoT & connected devices are driving the growth of this market. However, the high cost of equipment, the fragmented spectrum harmonization model, and rising cybersecurity concerns hinder the growth of this market.
Based on application, the 5G chipsets market is segmented into automotive & transportation, smart factories, smart cities, gaming & entertainment, and smart retail. In 2021, the smart cities segment is poised to command the largest share of the overall 5G chipsets market. 5G chipsets are used in solving key issues and requirements in smart cities, such as infrastructure & real estate management, prompt access to services, efficient transportation & logistics, public security and surveillance, efficient utility management, intelligent mobility, environment & pollution monitoring, and smart lighting solutions.
Based on frequency, the 5G chipsets market is segmented into below 1ghz, sub 6ghz, and above 24ghz. In 2021, the sub 6Ghz segment is expected to command the largest share of the market. The large share is primarily attributed to its ability to provide widespread coverage in densely populated areas of cities and flexible deployment of ubiquitous 5G network coverage. Further, the sub 6Ghz frequency can penetrate through walls and travel farther distances.
An in-depth analysis of the geographical scenario of the 5G chipsets market provides detailed qualitative and quantitative insights about the six major geographies (North America, Europe, Asia-Pacific, Latin America, the Middle East, and Africa) along with the coverage of major countries in each region. In 2021, Asia-Pacific is projected to command the largest share of the global 5G chipsets market, followed by North America, Europe, Latin America, and the Middle East & Africa. The large share of this region is mainly attributed to the presence of major technology players manufacturing 5G chipsets and higher adoption & proliferation of 5G technology.
The report can be found here.
Written by: editors Smart City Hub
Header image: Tokyo (Asia-Pacific is projected to command the largest share of the global 5G chipsets market)