The telecom power systems market plays a crucial role in enabling effective cellular communication across the globe. Telecom power systems encompass a wide range of equipment such as AC/DC rectifiers, DC/DC converters, and inverters that are used to provide continuous and reliable power supply to telecom towers, network operations centers, and data centers. These systems ensure uninterrupted 4G/5G connectivity and performance. Advancements in renewable energy technologies are transforming the design of telecom power systems with greater focus on sustainable and eco-friendly solutions.
Telecom network operators are increasingly adopting renewable energy-powered and hybrid power systems to meet their power requirements and lower dependence on grid power. Features like reduced carbon footprint, operational cost savings, and reliable power even in off-grid locations are driving this shift towards renewables. Solar and wind-based power systems along with battery storage provide a viable opportunity to offer telecom services in rural areas without existing electricity infrastructure. Innovation in areas like integrated solar PV modules, fuel cell technology, and hydrogen storage is expected to make renewable energy solutions more scalable and cost-effective for large-scale deployment.
The global telecom power systems market is estimated to be valued at US$ 4823.48 billion in 2024 and is expected to exhibit a CAGR of 5.9% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Renewable integration is a major trend shaping the telecom power systems industry. Telecom operators are focusing on hybrid energy solutions combining solar PV, wind turbines and battery storage to reduce their carbon footprint as well as energy bills. For example, recently Reliance Jio signed an agreement with Indosolar to build large-scale solar power projects across India to meet renewable energy targets. Such hybrid systems ensure clean and reliable power for connectivity needs. Innovation in battery technologies is also allowing operators to deploy scalable renewable energy storage and manage intermittency issues effectively.
Porter’s Analysis
Threat of new entrants: The threat of new entrants in the telecom power systems market is moderate. Considerable capital requirement for infrastructure, research and development acts as a barrier for new players.
Bargaining power of buyers: Telecom operators hold strong bargaining power as buyers due to the presence of several established vendors providing telecom power systems.
Bargaining power of suppliers: Leading battery manufacturers and other component suppliers have moderate bargaining power.
Threat of new substitutes: Threat from substitutes is low as telecom power systems have limited alternatives for powering telecom towers and sites.
Competitive rivalry: The global telecom power systems market is fragmented with the presence of various global and regional vendors. Intense competition exists between vendors based on product quality, technology, service and pricing.
Key Takeaways
The Global Telecom Power Systems Market Growth is expected to witness high growth over the forecast period owing to rapid deployment of 5G networks. The global telecom power systems market is estimated to be valued at US$ 4823.48 billion in 2024 and is expected to exhibit a CAGR of 5.9% over the forecast period 2024 to 2031.
Regional analysis: Asia Pacific region dominates the global market and is expected to grow at fastest pace during the forecast period due to the ongoing infrastructure development initiatives and increasing investments made by telecom operators in countries like China and India.
Key players: Key players operating in the telecom power systems market include Archer Daniels Midland Company, Seagarden AS, Phermpep Co. Ltd., Arlak Biotech Pvt. Ltd., Naturade, Royal DSM, MYOS RENS Technology Inc., Natural Factors Inc., Valio Oy, GenScript, HELIX BIOMEDIX, Oryn Therapeutics, Selecta Biosciences, NIBEC, vivitide, PEPTIDE INSTITUTE, INC, BCN Peptides, Setlance srl., APEPTICO Forschung und Entwicklung GmbH, and BIONANOPLUS.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it