5G Chipset Market Trends

5G Chipset Market Overview

The 5G Chipset Market industry is projected to grow from USD 22.10 Billion in 2023 to USD 126.58 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 21.40% during the forecast period (2023 - 2032).

5G refers to the latest technology that is expected to increase the speed of wireless cellular networks. A 5G Chipset contains many microchips that make up the set. It helps transmit data across wireless networks swiftly. A 5G microchip set allows network providers to create one or more networks within a single 5G cellular network.

There has been a sharp increase in the number of internet and smartphone users around the world. Moreover, they are looking for high-speed internet provisions and low battery-consuming networks when accessing the internet. Only 5G cellular networks can make these provisions possible for the users. Hence, these factors act as a driving force to the 5G chipset market growth.

5G Chipset Market Covid-19 Analysis

After the impact of Covid-19 across the globe, many large-scale businesses and industries suffered, except healthcare and life support products. The lockdown and physical distancing protocols also affected many small and big business institutions alike. However, the 5G chipset business seemed to make a lot of profit out of the situation.

This is because most families and friends were separated due to travel restrictions. Hence, the 5G high-speed networks help them stay connected. Moreover, post-Covid-19, the media & entertainment sector adopted online platforms for users to enjoy them at home. These factors contribute to the growth of the market. Hence, higher 5G chipset market sales are expected in the coming years.

5G Chipset Market Dynamics

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  Drivers

  
  

Many factors drive the growth of the 5G chipset market. Various mobile and PC applications such as multiplayer gaming, video conferencing, distance education, and augmented reality require high-speed internet and large span network coverage. Hence, 5G microchips are the ideal solution. The need for transmitting data across the globe faster and data processing efficiency is also driving the growth of the 5G chipset market.

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  Opportunities

  
  

Many countries have already adopted smart city, car, and home solutions across the globe. In such cases, the adoption of a 5G network will accelerate the growth of the country’s annual GDP by a large fraction in the long term. The deployment of 5G networks also extends various opportunities for consumers and industries. The rise of cellular IoT networks also leads to 5G chipset market growth.

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  Restraints

  
  

There are a few factors that act as restraints to the growth of the 5G microchips market. The most important factor among them is the high cost of 5G chipsets. Since these networks offer numerous benefits to the users, they are highly expensive. There were only available for premium smartphone users in 2019. The higher the performance, speed, and quality, the more you need to pay for its deployment. These factors may slow down the 5G market growth.

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  Challenges

  
  

As of now, not many phones support the use of 5G cellular networks. Only premium smartphones support 5G use and they are very expensive. Moreover, not many 5G mobile phones are available in the market. Hence, people cannot deploy 5G cellular data as much, despite the high demand for the network. So catering to the demands of the global population comes as a challenge for the 5G chipset providers.

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  Cumulative Growth Analysis

  
  

The 5G microchips market value is anticipated to reach nearly USD 133.50 billion over the forecast period with a CAGR of around 25.50% CAGR from 2022-2030. The recorded market value of the market was around USD million in 2030. Over the few years, the market value has increased commendably due to the high demand for a 5G cellular network. Post-Covid-19, the market growth is expected to propel more with the need for high-speed and responsive wireless networks.

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  Technological Analysis

  
  

5G cellular network offers high-speed internet, quick data transmission across networks, and a larger span of network coverage. This chipset deployment is especially beneficial for users to communicate with friends and family overseas and improve their overall internet-user experience. Deployment of 5G helps increase the annual GDP of countries that enable smart city, home, and car provisions. It helps make your life easier with its various benefits.

The 5G chipset use reduces the network coverage and internet speed issues that people face in the 3G and 4G cellular networks. Moreover, the network traffic in them may cause poor or minimal data speed issues. This issue is eradicated in the 5G network, which offers an extremely high-speed network, across the globe.

5G Chipset Market Segment Overview

The global 5G Chipset market is divided into various segments such as by type, product, operational frequency, and vertical. Given below are the important 5G Chipset market segments:

By Type

• ASIC (Application-Specific Integrated Circuit)


• Cellular Integrated Circuit


• RFIC (Radio Frequency Integrated Circuit)


• Millimeter-Wave Integrated Circuit

By Product

• Network Infrastructure equipment


• Premise equipment

By Operational Frequency

• Below 6 Hz


• 26 – 39 Hz


• 39 Hz & above

By Vertical

• Government


• IT & Telecommunication


• Retail & e-commerce


• Healthcare


• Industrial


• Energy & Utilities


• Automotive & Transportation


• Others

5G Chipset Market Regional Analysis

Based on region, the global 5G Chipset market is divided into North America, Europe, Asia Pacific, and Middle East & Africa. Among them, the Asia Pacific region is anticipated to dominate the global market with the highest share during the 5G Chipset market forecast. Countries such as China are moving forward in the innovation and development of 5G networks. These measures prove to increase the annual GDP of the countries by a large fraction. Moreover, the implementation of 5G expands opportunities for consumers and businesses alike.

5G Chipset Market Competitive Landscape

The 5G microchips industry is dominated by a few companies that play a vital role in the growth of the market. These mobile encryption market companies are called key companies. They contribute to the largest share of the market profit. The key companies contribute to the growth of the market by using strategies such as product launches, technological advancements & developments, and collaborations.

5G Chipset Market Key Players

Listed below are some of the major companies of the global 5G microchips market:

• Intel Corporation (US)


• IBM Corporation (US)


• Samsung Electronics Co Ltd (South Korea)


• Qualcomm Inc. (US)


• Nokia Oyj (Finland)


• Anokiwave (US)


• Xilinx Inc. (US)


• Integrated Device Technology Inc. (US)


• Qorvo Inc (US)


• Infineon Technologies AG (Germany)


• Huawei Technologies Co. Ltd (China)


• Fujitsu Ltd (Japan)


• Broadcom Inc. (US)


• Cavium Inc. (US)


• Hewlett Packard Enterprise Co (US)


• Analog Devices Inc. (US)


• ZTE Corporation (China)


• MACOM Technology Solutions Holdings Inc. (US)

Recent Developments

August 2023:

Qualcomm Technologies, Inc. has achieved a groundbreaking milestone in 5G performance with the Snapdragon X75 5G Modem-RF System, reaching a record-breaking 7.5 Gbps downlink speed on sub-6 GHz spectrum. This achievement underscores Qualcomm's commitment to advancing 5G capabilities, leveraging features like 4x carrier aggregation and 1024 quadrature amplitude modulation (QAM). The Snapdragon X75 empowers future-ready devices, enabling smoother user experiences and faster download speeds, while also enhancing network capacity and spectrum efficiency

September 2023:

Qualcomm Technologies, Inc. has announced a strategic agreement with Apple Inc. to provide Snapdragon® 5G Modem-RF Systems for smartphone releases spanning 2024 through 2026. This collaboration underscores Qualcomm's continued leadership in the 5G arena, solidifying its position as a key provider of advanced 5G technologies. For more details, interested parties can refer to Qualcomm's Investor Relations website.

November  2023:

The MediaTek Dimensity 8300 chipset is a power-efficient SoC designed for premium 5G smartphones, featuring generative AI capabilities, adaptive gaming technology, and fast connectivity. It boasts significant performance improvements over its predecessor, including a 20% faster CPU, 60% greater GPU performance, and 5.17Gbps downlink speeds with its built-in 3GPP Release-16 standard 5G modem.