5G Chipset Market Ascends at a Healthy CAGR of 87.2%

5G chipsets enable 5G packet transmission on smartphones, mobile hotspots, Internet of Things devices, and a rising number of notebook PCs with mobile network capability. It is anticipated that 5G mobile devices would mix conventional sub-6 GHz channels with new MIMO antenna systems and high-frequency millimeter-wave (mm-wave) bands with highly focused beam-steering. It is anticipated that over the forecast period, an increasing number of nations will seek to acquire the necessary infrastructure to support 5G to support the rapidly increasing demand for faster data transfers and reliance on cloud technology. This will likely increase the demand for 5G chipsets, which will create an enormous market opportunity for the market. Market Dynamics Growing Machine-To-Machine/IoT Connections Drives the Global Market The IoT and machine-to-machine (M2M) connections, both of which have been essential in improving market momentum, are helping to improve cellular connectivity across the industry as part of Industrial Revolution 4.0. The smart city revolution is a significant driver of 5G adoption. IoT and M2M (machine to machine) connectivity provide a variety of sensors and M2M wireless devices that improve the intelligence and connectedness of a city. These factors have significantly boosted the need for a 5G connection. In accordance with this trend, Verizon announced that Indianapolis would be the final location for its coordinated multi-city debut of 5G services in the second half of 2018. The company said that combining 5G technologies and data analytics would allow municipal governments to address issues such as congestion, crime, healthcare, pollution, education, and inequality. By 2025 there will be approximately 30 smart cities worldwide, with 50 percent located in North America and Europe. This is anticipated to create numerous growth potential for 5G technology and, subsequently, the market for 5G chipsets. Increase in Demand for Mobile Data Services Creates Tremendous Opportunities The provision of necessary high-speed broadband coverage has been a complex undertaking for service providers. Unpredictable soil composition is one of the most challenging obstacles when constructing broadband fiber infrastructure, as densely inhabited forests and tall trees can interfere with mobile wireless broadband access. In addition, the United States Department of Transportation estimates that the typical cost of laying fiber is USD 27,000 per mile. This makes the cost of laying fiber the most significant expense connected with the deployment of fixed broadband. Fixed wireless was once viewed as an expensive and unreliable broadband delivery method since it was difficult to engineer and offered much slower service speeds than FTTx alternatives. Since the advancement of the technology, fixed wireless has become a complementary access alternative to fiber, enabling service providers to deliver broadband speeds much above minimum requirements. AT&T and Charter have planned to launch 5G fixed wireless broadband tests in select US markets. Orange, Elisa, and Arqiva, a telecom infrastructure provider, are conducting 5G fixed wireless testing throughout Europe. Australia's Optus plans to offer a 5G fixed wireless service in APAC in 2019. These patterns demonstrate the market demand for 5G wireless broadband. Regional Analysis Asia-Pacific is the most significant shareholder of the global 5G chipset market and is expected to grow at a CAGR of 89.6% during the forecast period. The expanding demand for broadband services in Asia's developing nations is also expected to boost the analyzed market's breadth. Most mobile cellular service providers in these locations are increasing their coverage investments. In addition, satellites contribute to expanding cellular communication technologies in these locations to deliver cost-effective services with enhanced performance and dependability. North America is envisioned to account for a substantial market share of the 5G chipset market, with its dominance being primarily attributable to the rapid adoption of new technologies. Qualcomm, a key player in smartphone communications processors that produces 50% of all core baseband radio chips used in smartphones, is headquartered in this region. It is one of the largest US technological businesses, playing a significant role in the global market for 5G chipsets. The growth of 5G mobile subscriptions in Western Europe is anticipated to provide significant opportunities for developing the 5G chipset market. This is due to the growing investment by regional telecom players in 5G technology, various governments' initiatives to accelerate research and innovation in 5G technology, the rising demand for high-speed internet and broad coverage with reduced latency and power consumption, etc. Key Highlights The global 5G chipset market was valued at USD 21 billion in 2021. It is expected to reach USD 3,170 billion by 2030, growing at a CAGR of 87.2% during the forecast period (2022–2030). By chipset type, the global 5G chipset market is segmented into Application-specific Integrated Circuits (ASIC), Radio Frequency Integrated circuits (RFIC), Millimeter Wave Technology Chips, and Field-programmable Gate Array (FPGA). Application-specific Integrated Circuits (ASIC) account for the largest market share and are expected to grow at a CAGR of 88.8% during the forecast period. By operational frequency, the global 5G chipset market is segmented into sub-6 GHz, between 26 and 39 GHz, and above 39 GHz. Sub-6 GHz accounts for the largest market share and is expected to grow at a CAGR of 85.4% during the forecast period. By end-user industry, the global 5G chipset market is segmented into consumer electronics, industrial automation, automotive and transportation, energy and utilities, healthcare, retail, and other end-user industries. Consumer electronics account for the largest market share and are expected to grow at a CAGR of 87.9% during the forecast period. Asia-Pacific is the most significant shareholder of the global 5G chipset market and is expected to grow at a CAGR of 89.6% during the forecast period. Competitive Players The global 5G chipset market’s major key players are Qualcomm Technologies Inc., MediaTek Inc., Intel Corporation, Samsung Electronics Co. Ltd, Xilinx Inc., Nokia Corporation, Broadcom Inc., Infineon Technologies AG, Huawei Technologies Co. Ltd, Renesas Electronics Corporation, Anokiwave Inc., Qorvo Inc., NXP Semiconductors NV, Cavium Inc., Analog Devices Inc, Texas Instruments Inc. Market News In July 2022 - Mahindra & Mahindra Ltd. announced work with Visteon Corporation to bring world-class, transformative in-vehicle experiences to the all-new Scorpio-N, utilizing the 3rd Generation Snapdragon® Cockpit Platforms from Qualcomm Technologies, Inc.  In July 2022 - Qualcomm Incorporated (Nasdaq: QCOM) announced that Qualcomm Technologies, Inc. would host its inaugural Automotive Investor Day on September 22, 2022. Executives of the company will describe how the Snapdragon® Digital ChassisTM enables the automotive transformation and continues to fuel its design-win pipeline's growth. Global 5G Chipset Market: Segmentation By Chipset Type Application-specific Integrated Circuits (ASIC) Radio Frequency Integrated Circuit (RFIC) Millimeter Wave Technology Chips Field-programmable Gate Array (FPGA) By Operational Frequency Sub-6 GHz Between 26 and 39 GHz Above 39 GHz By End-User Industry Consumer Electronics Industrial Automation Automotive and Transportation Energy and Utilities Healthcare Retail Other End-user Industries By Regions North America Europe Asia-Pacific Latin America The Middle East and Africa