In the face of stiff competition, companies are trying to outdo each other to bring 5G technology to market. Testing companies, such as Rohde & Schwarz, Keysight Technologies, Fortive, National Instruments, and VIAVI Solutions, have shifted their focus toward the Internet of Things (IoT) and commercialization of 5G testing. National Instruments has set up mmWave vector signal transceiver (VST) to address the test challenges of 5G mmWave radio frequency integrated circuit (RFIC) transceivers and power amplifiers. National Instruments solutions use the mmWave vector signal transceiver (VST), which combines a radio frequency (RF) signal generator, an RF signal analyzer, and integrated switching with 1 GHz of instantaneous bandwidth at frequencies up to 44 GHz.
MarketsandMarkets™ View Point:
Siddharth Rane : Assistant Manager : Semiconductor and Electronics Research at MarketsandMarkets™, shares his point of view as mentioned below:
The market is highly competitive, given the presence of a large number of players, which include Tier I and mid-tier companies, and startups. However, major players dominate the market with the adoption of organic strategies such as product launches and enhancements in existing products in the test and measurement ecosystem. Long-term evolution (LTE) and 5G are the fastest-growing mobile technologies, and these are expected to continue to evolve in the future as well. According to a survey conducted by Qualcomm, in the near future, about 50% customers availing 5G services will need to pay additional charges for these services and as such, are likely to purchase 5G-enabled smartphones. With the advent of 5G technology, wireless devices and components are expected to further require testing before their use. Thus, it will lead to the introduction of new and improved electronic devices that are highly power-efficient and will also create growth opportunities for test and measurement equipment market in the near future.
Fig: - Market Size of IT & Telecom in Global Test and Measurement Equipment Market, 2018 vs. 2024
Source: - Company Annual Report, Investors Presentation, Industry Journal & Magazine, Expert Interview, and MarketsandMarkets Analysis
Source: CTIA, Industry Journal & Magazine, Expert Interview, and MarketsandMarkets Analysis
Impact of the Launch
Several telecom companies, such as NTT DOCOMO and Motorola Mobility across the globe, are in the process of upgrading their LTE infrastructure to address the rising demand for access to wireless networks. Designers and manufacturers use test and measurement solutions to assure the performance of mobile devices such as mobile handsets, personal digital assistants (PDAs), and tablet computers, in terms of both hardware and software. By using test and measurement equipment, mobile device manufacturers can ensure that the new products adhere to global standards through testing across 2G, 3G, and LTE and LTE-A. At the same time, several telecom companies are slowly incorporating enhanced capabilities of LTE-Advanced standards in their existing networks—described as the bridge to 5G communication. This will also help service providers and network equipment manufacturers to validate 5G new radio (NR) functions at scale in preparation for 5G devices to start making their way onto the networks.
In 5G mobile networks, stable network operations and preventive maintenance are keys to achieving 5G innovations, including low latency, high speed, large capacity, and multiple simultaneous connections. In addition, 5G requires much more complex signalling to support coexistence with 4G systems. The commercialization of 5G network is rapidly gaining traction, and it is expected that 5G standards will be officially recognized by the International Telecommunications Union by 2020. The US is expected to have the highest concentration of 5G network launches by end-2019. Additionally, countries such as the UK, Switzerland, South Korea, Japan, and Kuwait are expected to launch 5G networks by 2020.
The ongoing developments in technology and widespread demand for wireless technologies are currently driving the market for test and measurement equipment in the IT & telecommunications industry. It is expected to receive a fillip with the ever-increasing subscriber base for advanced technologies such as WiMax, 3G, 4G, 5G, and LTE and LTE-A that have triggered growth prospects for this industry. Thus, considering the growing demand for wireless technologies in IT & telecommunications, there is a necessity to create infrastructure to serve this demand. As these are digitally complex technologies, design teams face significant pressure to ensure conformance, along with providing applicable solutions and error-free transmission of data and communications. Therefore, it would be interesting to see how mmWave VST would help National Instruments address the test challenges of 5G mmWave radio frequency, as well as offer optimal customer experience and quality.