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Asia-Pacific Communication Test Equipment Market Observes Growth
March 15, 2019 | Frost & SullivanEstimated reading time: 2 minutes
Increasing innovation, government initiatives, and rising demand in the market prompt Asia-Pacific to become a lucrative region for communication test vendors.
The test equipment market in Asia-Pacific is expected to observe growth at a CAGR of 3.5% from 2017 to 2022. Frost & Sullivan projected the market revenue growth to reach up to $1,273.8 million by 2022 from $1,073.3 million in 2017. The primary driver for the growth is escalating demand across several vertical markets such as service providers, Original Equipment Manufacturers (OEMs), and more.
“The Asia-Pacific region offers higher growth rate of most communication test equipment vendors compared to other regions they operate in,” commented Ms. Divya Saiprasad, Principal Consultant at Frost & Sullivan.
“This is mainly due to government ambitions and strong investments in communication infrastructure in Asia-Pacific,” she explained.
Frost & Sullivan’s recent study Asia-Pacific Communication Test Equipment Market, Forecast to 2022 highlights the demand for communication test equipment market in APAC is fueled by advancements in infrastructure build-outs by developing countries and the growing adoption of smartphones and cloud technology.
“Several product launches with sizable improvements in sensitivity, resolution, speed and throughput are populating the market due to increased demand,” added Saiprasad.
Vendors are looking at mergers and acquisitions to increase their combined strengths in terms of product and services portfolio to lead the market. Keysight, after its acquisition of Ixia is the leader in terms of market share and surpasses Rohde & Schwarz, which was previously in the pole position.
In the study, Frost & Sullivan enumerate growth opportunities and call to action for companies to leverage on the market growth.
- 5G—there are immense opportunity for testing applications that cater to the 5G spectrum
- Network Function Virtualization (NFV)—companies must identify the various end-user groups that can benefit from NVFs
- Internet of Things (IoT)—vendors needs to innovate new products that cater to a diverse level of applications and end-user concerns
- Security and Integrity—opportunities emerge for companies to develop a more proactive and practical testing approach towards security testing
- Wireless Technology—developed countries such as Japan and Singapore will bring in more demand hence companies need to strategize to address this demand
Smart cities, smart manufacturing plants, and smart grid are a few trends that are set to drive the demand for various test equipment. 5G is the new telecom revolution and the development/deployment of mobile 5G networks and its applications is attracting increased investments in telecom infrastructure and innovative applications.
About Frost & Sullivan
For over five decades, Frost & Sullivan has become world-renowned for its role in helping investors, corporate leaders and governments navigate economic changes and identify disruptive technologies, Mega Trends, new business models and companies to action, resulting in a continuous flow of growth opportunities to drive future success.
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