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Telecom Power Systems Market size exceeded USD 5 billion in 2022 and is expected to register a CAGR of over 10% from 2023 to 2032. This market growth can be attributed to the rapid adoption of telecommunication services such as voice, networking, and data services.
As individuals gain a better understanding of these services, they are adopting these services across all industries including schools, offices, data centers, and healthcare. This has resulted in efficient work execution, enhanced communication services, and improved internet services including faster file transfers in offices. This increasing adoption of telecommunication services is expected to drive the development of telecom infrastructure including the installation of more towers to provide services to a larger population.
The growing demand for tower installations is fueling the telecom power systems market growth due to the deployment of advanced technologies such as 4G and 5G. Despite the widespread adoption of these technologies, the coverage for 4G & 5G remains relatively low in several regions, requiring the installation of additional towers to handle the ever-increasing voice & data traffic. Owing to continuous technological advancements, the need for speed is also growing, leading to a surge in demand for high-speed data services.
Report Attribute | Details |
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Base Year: | 2022 |
Telecom Power Systems Market Size in 2022: | USD 5 Billion |
Forecast Period: | 2023 to 2032 |
Forecast Period 2023 to 2032 CAGR: | 10% |
2032 Value Projection: | USD 15 Billion |
Historical Data for: | 2018 to 2022 |
No. of Pages: | 250 |
Tables, Charts & Figures: | 517 |
Segments covered: | Type, Technology, Application and Region |
Growth Drivers: |
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Pitfalls & Challenges: |
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The cost of raw materials utilized in the production of power supply components including rectifiers, converters, generators, controllers, and heat management systems is increasing at a rapid pace. This has resulted in an overall rise in the cost of telecom power systems. However, businesses operating in this industry are making substantial investments in R&D with a focus on reducing production costs. This emphasis on innovation and cost optimization will pave a way for the rise of new technical solutions that can overcome these cost constraints by 2032.
The indoor telecom power systems market is expected to register over 11.5% CAGR through 2032. These power systems are widely used to support global carrier networks and commercial communication infrastructures. Furthermore, vendors are increasingly emphasizing the development of innovative products that are simple to integrate, highly reliable, and consume less power.
Digital electricity segment is poised to witness around 20% CAGR between 2023 and 2032. This is primarily due to the numerous advantages of digital electricity cabling such as lower costs and greater wire reusability. With digital power cabling, the relocation and reuse of cables are significantly easier without the need for external expertise. This translates into lower hardware-related expenses, driving the adoption rate of the technology among telecom operators.
DC power systems is to convert Alternating Current (AC) to Direct Current (DC) and use it to charge batteries. Additionally, these systems offer precise voltage control, monitoring of power sourcing, and alarm activation as necessary. DC power systems have a wide range of applications in data centers, telecommunication systems, electric vehicles, commercial buildings, residential homes, and aircraft. In data centers and telecommunications systems, DC distribution systems employ low-voltage 48 Vdc systems to enhance flexibility, efficiency & reliability and reduce system costs. This factor is driving the demand for DC power systems in these industries.
Telecom power systems market from indoor distributed antenna systems (DAS) segment collected a revenue of over USD 600 million in 2022. Indoor DAS have become a crucial component of both enterprise infrastructures and carrier cellular networks. They play a vital role in addressing the issue of isolated spots of poor coverage inside densely populated indoor spaces, ensuring seamless connectivity and communication. One of the key drivers of the indoor DAS segment growth is its ability to support multiple telecom carriers simultaneously. This feature enables enterprises to improve their network coverage and avoid disruptions while providing their employees & customers with uninterrupted connectivity.
Asia Pacific has emerged as a significant contributor to the telecom power systems market, accounting for the highest business share of 36.9% in 2022. This growth can be attributed to the rapid digital transformation of several industries in developing countries, creating a growth opportunity for telecom operators to establish a sustainable ecosystem. Furthermore, countries including India, South Korea, and China have made significant progress in developing their telecom services, which has paved the way for the emergence of start-ups focusing on upcoming trends in digital services such as cloud computing, network security, and better-connecting technologies. This has led to a significant surge in the telecom sector growth, increasing demand for regional telecom power systems.
n are some of the prominent market players. Companies with a strong distribution network are actively pursuing a range of strategic initiatives to broaden their business footprints. For instance, in May 2022, Huawei launched a new generation of power delivery solutions, PowerPOD 3.0. Th solution enhances the layout and helps to build data center power supply system that allows to save power, footprint, and time.
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