Global Millimeter Wave Technology Equipment Market 2016-2020

Global market overview for millimeter wave technology equipment

The global market for millimeter wave technology equipment will exhibit promising growth and post an impressive CAGR of over 47% by 2020. According to Technavio’s market research analyst, the prospects for growth in this market will be affected by the deployment of next-generation LTE wireless networks. The recent increase in the global data consumption has led to the high adoption of LTE wireless networks like 4G, and the growing number of global commercial networks has made LTE the fastest developing mobile technology. Since RF components, including millimeter wave equipment, are used to support different standards, applications, band combinations, and mobile operators' requirements, its demand among the LTE wireless network service providers is anticipated to rise substantially over the next few years.

Another key factor that spurs market growth is the recent growth in mobile data traffic. According to Technavio’s market research analyst, the average smartphone usage grew by 43% year-over-year in 2015. It was also noted that during the same time, mobile traffic data per tablet was 2,576 MB per month when compared to 929 MB per month per smartphone. It was also noted that the average non-smartphone usage rose to 23 MB per month in 2015, from 16 MB per month in 2014. This increase in the mobile data traffic will lead to the augmented demand for better network connections, which, in turn, will result in the growing need for equipment, such as millimeter wave equipment, to facilitate access to better network connections.

Competitive landscape and key vendors

The level of competition in this market is fierce as it is characterized by the influx of several new vendors. Consequently, to survive in this market, vendors have been compelled to distinguish their product and service offerings through clear and unique value propositions. Additionally, factors such as performance, innovation, product features, quality, low cost, selling price, distribution, and financial stability also play a crucial role in affecting the vendor’s hold over the market.