5G Will Account for Over 40% of Wireless Infrastructure Spending by 2025

According to SNS Research, by the end of 2025, 5G networks will account for more than 40% of all spending on wireless network infrastructure, up from roughly 5% in 2020.

This substantial increase in spending is driven by major investments in 5G New Radio (NR), next-generation core networks, and transport infrastructure (fronthaul and backhaul) between 2020 and 2025.

The comprehensive report package—spanning more than 1,500 pages—includes two in-depth studies that analyze both the legacy 2G/3G/4G wireless infrastructure market and the emerging heterogeneous network (HetNet) submarket. The package offers a thorough assessment of key market drivers and challenges, regional CapEx plans, vendor strategies, and detailed regional and global revenue and unit shipment forecasts for wireless network infrastructure, macrocell deployments, and mobile transport submarkets from 2017 through 2030.

Global revenues from 2G, 3G, and 4G wireless infrastructure totaled nearly $56 billion in 2016. In 2017, the market is projected to contract by about 4%, primarily due to reduced spending on standalone macrocell RAN infrastructure. Nevertheless, researchers expect the market to resume growth at an estimated CAGR of 2% between 2017 and 2020, driven by increased HetNet investments and the commercial rollout of 5G NR beginning in 2019.

In related 5G forecasts, Ericsson’s latest Mobility Report projected that there will be 1 billion 5G subscriptions by 2023, reaching over 20% of the global population by that time.

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