by Telecom towers find extensive applications in cellular communications as they facilitate the establishment of wireless networks. They support antennas that receive and transmit radiofrequency signals between mobile phones, modems, and other devices. The increasing penetration of smartphones and rising mobile data traffic have encouraged telecom operators to enhance coverage and capacity of their networks using multiple towers installed across cities, towns, and rural areas. Telecommunication towers are indispensible for deployment of new and advanced wireless technologies like 5G. 5G rollout demands installation of additional towers to deliver the next-generation network’s benefits like ultra-fast speeds, low latency, and better coverage experience to end users.
The global telecom towers market is estimated to be valued at US$ 55.07 Bn in 2023 and is expected to exhibit a CAGR of 3.5% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
Growing Demand for 5G Infrastructure: 5G technology requires denser network of towers for its implementation as 5G signals have difficulty traversing long distances. This creates a huge opportunity for telecom tower infrastructure providers to install new towers for 5G rollouts happening worldwide. Supportive government policies for facilitating 5G network developments in countries will drive higher investments in telecom towers.
Expansion of Wireless Network Coverage: Telecom operators are expanding their tower footprints, especially in rural regions, to broaden the coverage of wireless networks and improve connectivity. This propels the construction of new towers and augmentation of existing sites.
Segment Analysis
The telecom towers market can be segmented into communication towers and tower structures. The communication towers segment currently dominates the market, accounting for over 70% share. This is because communication towers are the primary infrastructure component required by telecom operators to deploy wireless networks and provide connectivity services to customers. The increasing demand for broadband and mobile internet is driving numerous network upgrade and expansion activities, thereby propelling the demand for communication towers.
PEST Analysis
Political: Government policies aim to facilitate large network rollouts through measures like easing of right-of-way norms and single-window clearance for tower erection. This provides a positive environment for market growth.
Economic: Growth in mobile subscribers and data consumption is augmenting telecom revenue. This encourages telecom operators to invest heavily in infrastructure expansion including new towers.
Social: Rising internet and smartphone penetration is raising the social dependency on digital connectivity. This increases the demand for ubiquitous high-speed mobile coverage through extensive tower footprints.
Technological: The rise of 5G networks and technologies like C-RAN and DAS requires denser tower placements for effective coverage. Emerging technologies will drive additional tower requirements.
Key Takeaways
The Global Telecom Towers Market Growth is expected to witness high growth over the forecast period driven by the exponential data traffic growth. The global telecom towers market is estimated to be valued at US$ 55.07 Bn in 2023 and is expected to exhibit a CAGR of 3.5% over the forecast period 2023 to 2030.
Regionally, Asia Pacific dominates currently holding over 45% share due to the huge consumer base and government initiatives to expand broadband access in the region. Key players like American Tower Corporation, AT&T Inc., and China Tower Corporation are actively expanding their infrastructure portfolio to capture rising demand.
Key players
Key players operating in the telecom towers market are American Tower Corporation, AT&T Inc., Bharti Infratel Limited, China Tower Corporation, Crown Castle International Corporation, GTL Infrastructure Ltd, Helios Tower Africa, SBA Communications Corporation, T-Mobile Tower, and Viom Networks. American Tower Corporation is the largest telecom towers provider globally with over 180,000 towers.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
