Telecom Power Systems Market Growth & Trends
The global telecom power systems market size is estimated to reach USD 5.85 billion by 2028, expanding at an estimated CAGR of 8.8% from 2021 to 2028, according to a new report by Grand View Research, Inc. The rising demand for high-speed data connectivity and rising penetration of smartphones has escalated the demand for advanced telecom power systems globally. Factors such as the rising investments in hybrid telecom infrastructure, escalating demand for video streaming, and a significant rise in digital content consumption are also expected to offer enormous growth opportunities for the market.
The surging energy consumption per household worldwide has compelled market players to develop innovations such as collaborative user interaction, distribution grid automation, and the automated system controls to ensure continuous power supply. Besides, the rising deployment of 5G network globally is compelling telecom power system providers to realign their product offerings. 5G networks could deliver benefits such as ultra-high bandwidth, ultra-low latency, mass communication, changing business operations, and improving the telecom power system’s decision-making intelligence for vertical industries. According to the State Grid Corporation of China (SGCC), the combination of 5G network with telecom power grids is expected to provide a solid foundation for the smart industrial revolution.
The COVID-19 pandemic led to the shutdown of manufacturing facilities across several industries, resulting in the slow deployment of fiber and 5G networks. Moreover, the rising pressure on mobile and communication networks due to the sudden transition to a remote working model is leading to outages as well as a heavy load on existing systems mounted in telecom towers. To cope with the escalating power supply demand, telecom operators are reshaping their strategies and contingency plans for dealing with power outages and load issues.
Telecom Power Systems Market Report Highlights
- In terms of geography, the Asia Pacific segment is projected to expand at the highest CAGR of more than 10.0% from 2021 to 2028. This growth can be attributed to the proliferation of the internet and increased deployment of telecom towers in developing countries in the region
- In terms of product, the DC telecom power system segment dominated the market in 2020 with a revenue share of more than 60.0%. This may be attributed to the DC-powered data communication systems being galvanically insulated, which helps in eliminating disturbances from the utilities
- In terms of power source, the diesel-solar segment is estimated to dominate the market over the forecast period. The segment is expected to expand at a CAGR of more than 10.0% from 2021 to 2028. This can be attributed to the ability of these power sources to reduce CO2 emissions and store and use solar energy for charging whenever needed