The global 5G infrastructure market size was estimated at USD 9.11 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 28.4% from 2023 to 2030. With the proliferation of connected devices, increasing data consumption, and the demand for ultra-fast and reliable communication networks, the deployment of 5G infrastructure has become a global priority. The market growth is driven by factors, such as the need for enhanced network capacity, low latency, and improved network performance to support emerging technologies like the Internet of Things (IoT), autonomous vehicles, Augmented Reality (AR), and Virtual Reality (VR). In addition, governments and telecommunications companies are investing heavily in the development and deployment of 5G networks, creating lucrative opportunities for infrastructure providers.
The rapid growth of mobile data traffic has necessitated significant network expansions in the 4G era, including increased cellular radio sites and deployed wireless spectrum. As the industry transitions to 5G, mobile data demand is projected to continue to rise, prompting network operators to expand capacity by at least 10 times. To address this, operators are increasingly relying on small cell installations, particularly for areas with high traffic. Small cells offer improved signal quality and increased radios per subscriber, effectively boosting data network capacity. With their proximity, small cells overcome the shorter signal reach of higher frequency 5G technology, making them an ideal solution for mobile operators seeking to enhance network capacity.
Major telecom operators, such as AT&T Inc, T-Systems International GmbH, and Vodafone Group, are making significant investments to meet the increasing demand for high-speed data capacity. They are actively implementing new 5G networks and upgrading existing infrastructure. For instance, Telecom Italia Group (TIM) and Vodafone Group collaborated in July 2019 to invest in 5G mobile network sharing, resulting in cost reduction and accelerated deployment of 5G infrastructure. This strategic partnership is projected to generate over USD 800 million in benefits for these telecom players over the next decade. The deployment of 5G networks will enable telecom operators to cater to the growing demand for enhanced data connectivity in various industrial and enterprise applications.
Infrastructure costs for the current network can be divided into four areas: upgrading existing networks, adding small cells, creating the new 5G layer, and installing new macro sites. While the majority of expenses currently go toward the traditional network, future investments will prioritize network densification through small cells, macro sites, and the 5G layer. These areas will account for a larger proportion of the Total Cost of Ownership (TCO). Meeting the growing demand for high data transfer rates and addressing signal loss in high-frequency 5G bands require densifying radio access networks. This necessitates wide-scale deployment of fiber optic cables, which will require significant capital investment and, thus, negatively impact the seamless deployment of network infrastructure, hindering market growth.
The global economy and the roll-out of 5G infrastructure have been significantly impacted by the COVID-19 pandemic. Many countries, including China, Italy, the United States, and India, implemented strict lockdown measures during the first two quarters of 2020, resulting in labor shortages and disruptions in the supply chain and logistics operations. These challenges led to delays in the deployment of 5G infrastructure. In addition, telecom authorities and governments temporarily postponed spectrum auctions for various 5G frequencies. Several European countries, such as France, the UK, Spain, and Italy, suspended the auction of 5G spectrum across different frequencies, including sub-6 GHz and mmWave. The postponement of these spectrum auctions further hindered the global deployment of next-generation network infrastructure.
The hardware segment dominated the market in 2022 and accounted for a revenue share of more than 76.0%. The hardware segment is further classified into RAN, core network, backhaul & transport, fronthaul, and midhaul. RAN is an essential component of 5G infrastructure as it connects devices, such as smartphones, via a radio link. Key industry players are investing and innovating in RAN 5G infrastructure. In December 2022, Qualcomm Technologies, Inc. introduced a compact macro 5G RAN platform aimed at enhancing coverage range by up to 240% and reducing the number of base stations needed for outdoor infrastructure. Such initiatives are anticipated to boost the growth of the RAN segment.
The services segment is anticipated to register substantial growth over the forecast period. The segment is further divided into consulting, implementation & integration, support & maintenance, and training & education. The support & maintenance segment is expected to exhibit significant growth during the forecast period, driven by the increasing deployment of 5G infrastructure. This deployment creates a demand for support & maintenance services to ensure the proper functioning of the equipment. Factors, such as understanding software technicalities, repairing breakdowns, upgrading infrastructure, and keeping up with the latest technologies & market trends, are crucial considerations in 5G implementation. Neglecting these factors can lead to decreased productivity. Consequently, the demand for support & maintenance services is projected to gain traction in the coming years.
The sub-6 GHz segment dominated the market in 2022 and accounted for a revenue share of over 79.0%. Sub-6 GHz networks operate within a frequency range of up to 6 GHz, with the widely used 3.5 GHz frequency being a common choice worldwide. Sub-6 GHz provides a lower frequency range of approximately 1 GHz to 6 GHz, offering broader coverage despite limitations in speed. This makes it a practical option for real-world implementation. In addition, the sub-6 GHz spectrum has been utilized in previous generation networks, making it a cost-effective and accessible approach for implementing 5G. The segment is further bifurcated into the low band (below 1 GHz) with greater coverage but lower speed and mid-band (1 GHz - 6 GHz), which strikes a balance between speed and coverage.
The mmWave segment is estimated to grow at the highest CAGR during the forecast period owing to the higher radio frequency bands ranging from 24 GHz to 40 GHz, which offer super-fast 5G and deliver faster than usual internet speeds. The FCC in the United States has introduced several mmWave frequencies, including 47.2–48.2 GHz, 24.25–24.45 GHz, 38.6–40 GHz, and 24.75–25.25 GHz, to enable low-latency connectivity for applications like autonomous vehicles. Moreover, other countries, such as South Korea, Japan, and Italy, have also released mmWave frequencies to boost their data services. The concerted efforts of governments worldwide in releasing mmWave frequencies are expected to drive the growth of this segment in the forecast period.
The non-standalone segment dominated the market and accounted for a revenue share of more than 89.0% in 2022. Non-standalone network architecture is a cost-effective solution that utilizes existing 4G infrastructure to enhance Enhanced Mobile Broadband (eMBB) services without requiring a complete infrastructure rebuild. It has played a crucial role in the initial rollouts of 5G networks, providing customers with higher data transfer speeds and acting as a transitional platform for both customers and carriers. The segment's growth is driven by the widespread adoption of non-standalone networks globally. Leading service providers like Verizon Communication, Inc., AT&T, Inc., and China Mobile Ltd. have already implemented 5G non-standalone networks for various applications, including UHD videos and cloud-based AR/VR gaming.
The standalone segment is expected to witness the fastest growth rate during the forecast period. Standalone 5G networks utilize a dedicated 5G core to handle crucial functions like connectivity, mobility, and user authentication. Unlike non-standalone architectures that rely on 4G LTE infrastructure, standalone networks enable the full range of 5G features and capabilities. The demand for standalone networks is expected to increase over the forecast period as industries embrace digitalization and seek uninterrupted machine-to-machine connectivity. There is also a growing need for ultra-reliable, low-latency connectivity, especially for applications in transportation and logistics. These factors drive the demand for 5G infrastructure, as businesses across various industries require faster data speeds to support their operations.
The enterprise/corporate segment dominated the market in 2022 and accounted for a share of over 21.0% of the overall revenue. The enterprise/corporate segment is experiencing significant growth due to the increasing need for higher data bandwidth in various corporate businesses. This surge in demand is driven by a wide range of use cases, such as virtual meetings, cloud computing, and the adoption of IoT-based smart workplaces. These applications rely on robust and uninterrupted connectivity to facilitate efficient communication and data exchange. As a result, enterprises are seeking enhanced connectivity solutions to meet their growing bandwidth requirements and ensure seamless operations.
The industrial segment is expected to witness the fastest growth rate during the forecast period. The segment growth is driven by the critical need for uninterrupted communication in various industrial applications, such as Automated Guided Vehicles (AGVs), wireless cameras, and collaborative/cloud robots, among other technologies. As industries transition toward implementing Industry 4.0, which relies on advanced connectivity, the demand for robust network infrastructure is expected to rise. The emphasis on seamless communication in industrial settings, coupled with the growing adoption of Industry 4.0 principles, creates favorable conditions for the expansion of the industrial segment.
Asia Pacific dominated the market in 2022 and accounted for a revenue share of over 44.0%. The governments across several countries in Asia Pacific, such as China and India, are taking initiatives to enhance the digital and network infrastructure owing to growing internet penetration. The rapid rollout of 5G owing to continuous digital transformation is anticipated to boost the growth of the market in the region. As stated in the GSMA report published in 2022, there are 14 countries with commercially available 5G networks. Countries, such as Vietnam and India, are anticipated to witness rapid adoption of 5G networks in the coming years, thereby fueling the demand for 5G infrastructure.
The North America regional market is expected to witness significant growth during the projection period. The growth can be attributed to the rising number of 5G connections fueling the demand for 5G deployment across the region. According to a study published by GSMA in 2021, in North America, 5G connections will account for 63% of all mobile connections by 2025. In addition, the presence of key players, such as T-mobile USA, Inc., AT&T Inc., and Verizon Communications, Inc., is anticipated to support the regional market growth.
The market is highly consolidated with the top four players accounting for over 50% of the global revenue.Key players strive to build strategic partnerships with service providers to deploy next-generation network infrastructure and gain early movers’ advantage. In June 2023, Orange SA and Telefonaktiebolaget LM Ericsson signed a collaboration agreement and secured contracts for the installation and maintenance of 5G network infrastructure on high-speed rail lines across Spain. With this achievement, Orange SA solidifies its position as a leading contributor to the development and implementation of 5G networks.
Moreover, in June 2023, Charter Communications, a U.S.-based telecom company, selected Nokia to supply 5G infrastructure for its Spectrum Mobile service. Under this agreement, Nokia will provide its AirScale equipment product portfolio, which includes 5G RAN, to support Charter Communications’ desired 5G connectivity design and deployment. With this collaboration, Charter Communications aims to enhance its mobile services by delivering mobile traffic efficiently in key locations across its operational presence in 41 states. The agreement reflects Charter Communications' commitment to offering its customers an exceptional 5G service experience. Some prominent players in the global 5G infrastructure market include:
Huawei Technologies Co., Ltd.
Samsung Electronics Co., Ltd.
Telefonaktiebolaget LM Ericsson
Airspan Networks Holdings Inc.
Cisco Systems, Inc.
Hewlett Packard Enterprise Development LP
Ceragon Networks Ltd.
Comba Telecom Systems Holdings Ltd.
Market size value in 2023
USD 16.69 billion
Revenue forecast in 2030
USD 95.88 billion
CAGR of 28.4% from 2023 to 2030
Base year of estimation
2018 - 2021
2023 - 2030
Revenue in USD million/billion and CAGR from 2023 to 2030
Revenue forecast, company market share, competitive landscape, growth factors, and trends
Component, spectrum, network architecture, vertical, region
North America; Europe; Asia Pacific; Latin America; MEA
U.S.; Canada; UK; Germany; Italy; China; India; Japan; South Korea; Brazil; Mexico; Kingdom of Saudi Arabia; UAE; South Africa
Key companies profiled
Altiostar; HUAWEI TECHNOLOGIES CO., LTD.; Nokia Corporation; Samsung Electronics Co., Ltd.; Telefonaktiebolaget LM Ericsson; ZTE Corporation; Airspan Networks Holdings Inc.; Fujitsu Limited; CommScope Inc.; Corning; NEC Corporation; CISCO SYSTEMS, Inc.; Hewlett Packard Enterprise Development LP; CERAGON; CASA SYSTEMS; Mavenir; Comba Telecom Systems Holdings Ltd.
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This report forecasts revenue growth and provides an analysis of the latest trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global 5G infrastructure market report based on component, spectrum, network architecture, vertical, and region:
Component Outlook (Revenue, USD Million, 2018 - 2030)
Backhaul & Transport
Implementation & Integration
Support & Maintenance
Training & Education
Spectrum Outlook (Revenue, USD Million, 2018 - 2030)
Network Architecture Outlook (Revenue, USD Million, 2018 - 2030)
Vertical Outlook (Revenue, USD Million, 2018 - 2030)
Energy & Utility
Transportation & Logistics
Public Safety & Defense
Regional Outlook (Revenue, USD Million, 2018 - 2030)
Middle East & Africa
Kingdom of Saudi Arabia (KSA)
b. The global 5G infrastructure market size was estimated at USD 9.11 billion in 2022 and is expected to reach USD 16.69 billion in 2023
b. The global 5G infrastructure market is expected to grow at a compound annual growth rate of 28.4% from 2023 to 2030 to reach USD 95.88 billion by 2030.
b. Asia Pacific dominated the 5G infrastructure market with a share of over 44.0%% in 2022. The regional market's growth can be attributed to increasing initiatives by the governments of several countries to enhance the digital and network infrastructure owing to growing internet penetration
b. o Some key players operating in the 5G infrastructure market include Altiostar; HUAWEI TECHNOLOGIES CO., LTD.; Nokia Corporation; Samsung Electronics Co., Ltd.; Telefonaktiebolaget LM Ericsson; ZTE Corporation; Airspan Networks Holdings Inc.; Fujitsu Limited; CommScope Inc.; Corning; NEC Corporation; CISCO SYSTEMS, Inc.; Hewlett Packard Enterprise Development LP; CERAGON; CASA SYSTEMS; Mavenir; Comba Telecom Systems Holdings Ltd.
b. a. Key factors that are driving the 5G infrastructure market growth include Continuing rise in data traffic and resulting need for network capacity expansion, increasing deployment of 5G network infrastructure for smart city use-case applications, and rising adoption of internet of things (IoT) technology.
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