The global Telecom Power Systems Market is estimated to be valued at US$ 4187.04 Mn or Mn in 2023 and is expected to exhibit a CAGR of 7.3% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Telecom power systems consist of batteries, rectifiers, converters, and controllers that are used to supply stable and uninterrupted power to telecom towers and networks. They provide backup power during power outages and ensure continuity of telecom services.
Market key trends:
One of the key trends in the telecom power systems market is the rise in mobile subscribers and increasing deployment of telecom towers globally. The rapid growth of 5G networks worldwide is increasing the need for efficient power systems to support the energy-intensive infrastructure. According to GSMA, the number of 5G connections is projected to reach 1 billion by 2023. This will drive the demand for reliable telecom power systems in the coming years.
SWOT Analysis
Strength: The telecom power systems market has seen steady growth owing to the rising demand for wireless connectivity and related services in developed markets such as North America and Europe.
Weakness: High initial investment costs associated with deployment and maintenance of telecom power systems could deter companies from investing.
Opportunity: Growth opportunities exist in emerging economies of Asia Pacific and Latin America due to increasing penetration of smartphones and rising investments in setting up telecommunication infrastructure.
Threats: Decline in profit margins of telecom operators due to intense competition could negatively impact their capital expenditure plans including investments in telecom power systems. Political and economic instability in certain regions also poses challenges.
Key Takeaways
The global Telecom Power Systems Market Growth is expected to witness high growth, exhibiting CAGR of 7.3% over the forecast period, due to increasing investments by telecom operators to enhance network coverage and support growing data traffic.
The Asia Pacific region currently dominates the market and is expected to continue its lead, growing at a CAGR of around 8% during the forecast period. This can be attributed to massive investments by China, India and other Southeast Asian countries to develop telecommunication infrastructure and roll out 5G networks.
North America is anticipated to contribute over 24% of the total market revenue by 2030 impelled by high 4G and 5G deployment rate across major countries like US and Canada. Investments towards rural connectivity and smart city projects also provide opportunities for telecom power systems players.
Key players operating in the Telecom Power Systems market are Schneider Electric SE, Eaton Corporation PLC, ABB Ltd., Huawei Technologies Co. Ltd., EnerSys, Cummins Inc., Delta Electronics Inc., Myers Power Products Inc., Efore, and Vertiv Co. The market exhibits a high degree of consolidation with top 5 players accounting for over 45% share.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it