Public Safety-LTE Market

Market Overview

The global public safety-LTE market size was valued at USD 15.6 billion in 2021. It is projected to reach USD 165 billion by 2030, growing at a CAGR of 30% during the forecast period (2022–2030).

Long-term evolution (LTE) networks for public safety are essential in the fight against the COVID-19 pandemic. For instance, FirstNet communication is widely utilized in the US to provide location services, video, data, and audio for first responders and medical staff. Globally, mobile broadband networks created using fourth-generation LTE technology are being launched. The development in network dependence for vital economic and social functions, and increased investments in network connectivity, are fueling the growth of the worldwide public safety-LTE market. During the projection period, it is projected that rapid digitalization and developments in LTE network technology will present the market with substantial growth possibilities.

Market Dynamics

Market Drivers

• Increasing Investments to Improve Network Connectivity

LTE networks are being adopted in developing nations at a rapid pace as they continue to upgrade their current network infrastructure to increase communication speed and provide robust connectivity to their citizens and services. For instance, a Swedish telecommunication equipment and services provider, Ericsson, reported over USD 750 million in 2020 from the sale of telecom equipment and services in Southeast Asia and Australia—a 21% increase compared to the previous year.

Governments and private companies in developing nations have focused on developing the country's networking infrastructure, investing more capital in the LTE market (being one of the more prominent and easier to deploy technology). The development of LTE infrastructure in such countries has paved the way for more advanced LTE-based applications to be adopted in developing regions. For instance, telecommunications giants such as Motorola are offering LEX L11 Mission-critical LTE devices and in-vehicle router-based solutions for law enforcement authorities; these devices rely on LTE networks for communication exchange and facilitate the secure flow of messages that are critical for the safety of the local public.

• Rise in Network Dependency for Crucial Public Welfare and Economic Activities

Networks play a crucial role in public infrastructure and safety facilities. As consumer technologies advance with newer devices and applications, public safety network infrastructures need an upgrade to keep up with modern problems and crises. Governments use public safety networks, police authorities, fire departments, healthcare agencies, and other public bodies for communication and public service announcements.

In addition, these networks must be wholly reliable and functional to help manage or prevent a possible disaster and catastrophe. LTE networks provide faster speed and lower latencies than their previous generation counterparts. Furthermore, with speedier packet transfer speeds in the network, many more uses of LTE-based communication systems in public safety infrastructure became possible. For example, remote healthcare clinics in rural locations were established. People who live far from local healthcare facilities benefit from specialists' expertise in real-time without traveling long distances.

 Market Restraint

• Limited Spectrum Availability

LTE networks rely upon allocating specifically dedicated frequency bands for their deployment. Multiple distinct LTE frequency bands have been assigned all around the world to different countries. This is accredited to the fact that spectrum variation in other countries makes maintaining a high degree of coordination challenging, which causes problems with roaming and the number of bands required by phones. Each frequency band is given a number so its boundaries can be determined. Furthermore, the LTE radio channels need specific band numbers assigned to them. These can be used to coordinate with different authorities worldwide to facilitate roaming facilities by having specified radio channels. These factors limit the use of LTE networks in public safety and security applications in some countries.

Global Market Opportunities

• Rapid Digitalization Globally

An increase in the trend toward digitalization in the modern world and the dependence of organizations and their business operations on digital technologies have fueled the demand for networking and telecommunications technologies. This, in turn, has encouraged public sector organizations to invest in improving their data exchange and communication services. As per a report published by the Global mobile Suppliers Association (GSA), by 2020, more than 330 companies had already invested in private communications networks. The report further stated that more than 81% of these networks are based on LTE technology. This rise in demand and increase in applications of LTE networks are expected to offer remunerative opportunities for expanding the global market in the coming future.

Segmental Analysis

The global public safety-LTE market share is segmented into type, infrastructure, services, application, deployment model, industry vertical, and region. 

• Insights into Type

Based on type, the global public market is bifurcated into Infrastructure and Services.

Infrastructure is the highest contributor to the market and is estimated to grow at a CAGR of 24.8% during the forecast period. Increased use of the internet and smart mobile devices has created a demand for advanced web-based applications, boosting the need for more complex infrastructure.

Services are the fastest-growing segment. It is expected that mobile phone manufacturers will likely unlock more devices that will be compatible with emerging LTE technology. An increase in demand for related services is expected to create potential opportunities for the market.

• Insights into Infrastructure

Based on infrastructure, the global market is categorized into Evolved UMTS Terrestrial Radio Access Network (E-UTRAN), Evolved Packet Core (EPC), and End-User Devices.

Evolved UMTS Terrestrial Radio Access Network (E-UTRAN) is the highest contributor to the market and is estimated to grow at a CAGR of 24.3% during the forecast period. LTE social security solution providers offer command center software, land mobile radio (LMR) & broadband integration, automotive modems, portable LTE devices, additional encryption solutions, and technology-related applications, which act as a critical driving force of the market. 

End-Use Devices are the fastest-growing segment. In the absence of compatible devices, especially for LTE-Advanced, one of the most critical tasks for developing the LTE infrastructure for the U.S. market. However, the manufacturers of mobile phones are expected to be more of the devices that are compatible with the new LTE technology. This is an opportunity for the growth of the market.

• Insights into Service

Based on service, the global market is segregated into Consulting, Integration, Maintenance, and Other Services.

Consulting Services is the highest contributor to the market and is estimated to grow at a CAGR of 27.7% during the forecast period. The consulting services associated with the LTE technology help facilitate the smooth running and troubleshooting of any glitches in solutions. These consulting services related to LTE technologies help gain knowledge of advanced technologies, which drive the market's growth. 

Integration Services are the second-largest segment. The key drivers of market expansion are increased demand for faster data rates and increased spectral efficiency. The industry is further driven tremendously by the use of LTE in public sectors, including public safety and the military and security.

• Insights into Service

Based on the deployment model, the global market is fragmented into Private, Commercial, and Hybrid LTE.

The Commercial LTE segment is the highest contributor to the market and is estimated to grow at a CAGR of 25.7% during the forecast period. Providing network access for users and facilitating communication between both external and internal users are possible through commercial LTE. Nearby services meet the need for communication between social security users even when they are not in-network broadcasting, which, in turn, boosts the growth of the LTE social security market.

Hybrid LTE is the fastest-growing segment. Hybrid customers benefit not only from the higher speed but also from increased connection security. In the event of a fault in the fixed network, they surf and make calls via the mobile web. This benefits customer whose new connections have not yet been activated. With the hybrid LTE option, they can make calls and surf immediately. These factors are boosting the growth of the market.

• Insights into Application

Based on application, the global public safety-LTE market includes Law Enforcement & Border Control, Firefighting Services, Emergency Medical Services, and Disaster Management.

The Law Enforcement & Border Control segment is the highest contributor to the market and is estimated to grow at a CAGR of 24.2% during the forecast period. The growth of the law enforcement & border control segment is attributed to the increase in LTE deployment model in these applications due to low initial costs and reduced service delivery time.

The Disaster Management segment is the fastest growing. During disasters, LTE helps transmit information to agencies and government bodies for rescuing people. This technology allows for damage control and negotiating the severe effects of disasters on the economy and human life. These factors propel the market's growth during the forecast period.

• Insights into Industry Vertical

Based on industry vertical, the global public safety-LTE market is differentiated Into Public Safety Agencies, Industrial, Transport, and Utilities.

The Public Safety Agencies segment is the highest contributor to the market and is estimated to grow at a CAGR of 25% during the forecast period. Advancements in LTE technologies and adopting IoT-based solutions provide growth opportunities for the market.

The Utility Segment is the fastest growing. Utilities now view private LTE networks as a solution to their many connectivity needs. A private LTE network provides services with several benefits, including global compliance, network flexibility, and economic cost. In addition, the adoption of public safety-LTE among various utilities and technological advancements are providing opportunities for market growth.

Regional Analysis

Based on regions, the global public safety-LTE market share is analyzed across North America, Europe, Asia-Pacific, and LAMEA.

Why is Europe Expected to be the Most Lucrative Market During the Assessment Period?

Europe holds the leading position in the market and is estimated to grow at a CAGR of 24.5% during the forecast period. Companies in the European region have been focusing on making more money in their research and developing new operations in the backbone, process, and equipment needed to manage the unique needs of LTE public safety solutions. These plans are expected to be implemented by other countries, including Italy and France, which is why the LTE social security market has excellent potential for growth in the forecast period.

North America is the second largest region. The North American public safety-LTE market is projected to reach USD 31 billion by 2030, growing at a CAGR of 24%. The growth of the public safety-LTE market in North America is primarily driven by increased terrorist attacks and natural disasters such as floods, hurricanes, forest fires, earthquakes, and cyber-attacks. Furthermore, the surge in demand for unmanned operations, eliminating network connectivity problems, and remote monitoring are expected to boost the market in the coming years.

Asia-Pacific is the fastest-growing region. Countries such as China, India, South Korea, Japan, and Indonesia have faster network services and improved infrastructure to deliver these services. The proliferation of criminal activities such as robbery and burglary, human trafficking, and terrorist attacks are some factors that have intensified the demand for the public safety-LTE market and are expected to continue in the future. Key driving factors fueling the growth of the public safety-LTE market are technological advances in devices, improved infrastructure, increased social unrest, and increased crime and threats.

Recent Developments

• June 2022 - The new ESSOR High Data Rate (ESSOR HDRWF) waveform has been successfully used in interoperability tests by the European a4ESSOR consortium. These tests are a part of the ESSOR (European Secure Software-defined Radio) project, namely ESSOR Operational Capability 1 (OC1), which was introduced at the end of 2017 by a4ESSOR and OCCAR on behalf of Finland, France, Germany, Italy, Spain, and Poland.
• June 2022 - Bittium showcases products and solutions for next-generation tactical and secure communications at the defense and security event Eurosatory. 

Public Safety-LTE Market Segmentation

By Type

• Infrastructure
• Service

By Infrastructure

• E-UTRAN
• EPC
• End-use Devices

By Service

• Consulting
• Integration
• Maintenance
• Others

By Deployment Model

• Private LTE
• Commercial LTE
• Hybrid LTE

By Application

• Law Enforcement & Border Control
• Firefighting Services
• Emergency Medical Services
• Disaster Management

By Industry Vertical

• Public Safety Agencies
• Industrial
• Transport
• Utilities

By Regions

• North America
• Europe
• Asia-Pacific
• LAMEA