China 5G Customer Premises Equipment Market Research Report By Equipment Type (Modem, Router, Fixed Wireless Access (FWA) Gateway, Mobile Hotspot, Integrated Access Device, Extender/Repeater, Others), By Application (High-Speed Internet Access, Smart Homes, Remote Work and Telecommuting, IoT Connectivity, VR and AR, Edge Computing, Security and surveillance, Rural Broadband Connectivity, Others) and By End-user Vertical (Education, Government, Industrial, IT & Telecom, Others)- Forecast to 2035

China 5G Customer Premises Equipment Market Overview

China 5G Customer Premises Equipment Market Size was estimated at 6.31 (USD Billion) in 2023. The China 5G Customer Premises Equipment Market Industry is expected to grow from 8.65(USD Billion) in 2024 to 300 (USD Billion) by 2035. The China 5G Customer Premises Equipment Market CAGR (growth rate) is expected to be around 38.036% during the forecast period (2025 - 2035)

Key China 5G Customer Premises Equipment Market Trends Highlighted

A few main market drivers are driving the significant growth of the China 5G Customer Premises Equipment Market. The Chinese government has made significant investments in the expansion of its 5G infrastructure with the objective of promoting the widespread adoption of this technology in both urban and rural areas. This investment facilitates the advancement of sophisticated CPE solutions that are suitable for both residential and commercial users. Furthermore, the demand for high-speed internet connections has increased as a result of the increasing number of consumers and enterprises seeking dependable and rapid connectivity to facilitate the Internet of Things (IoT) and digital services. 

The transition to remote work and online services has further exacerbated the necessity for efficient 5G customer premises equipment. The integration of smart technologies into CPE products is one of the opportunities to be investigated in this market. This can improve the user experience and offer supplementary functionalities, such as network administration and security features. Companies can also capitalize on growth by creating affordable solutions that are accessible to a broader demographic, particularly in rural areas where traditional broadband services are still limited. The trend of collaborating and establishing strategic partnerships with telecommunications operators is gathering momentum, as it can assist manufacturers in leveraging their existing networks and expanding their market reach. 

There has been a growing emphasis on sustainable practices in the industry in recent years.CPE manufacturers are investigating energy-efficient designs and eco-friendly materials in response to the Chinese government's most recent directive, which prioritizes carbon neutrality. This trend is consistent with the overarching objective of enhancing environmental sustainability in a variety of sectors throughout China. Consequently, the 5G consumer Premises Equipment Market in China is at a critical juncture because of the convergence of technology, sustainability, and consumer needs.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

China 5G Customer Premises Equipment Market Drivers

Rapid Digital Transformation in China

The acceleration of digital transformation across various sectors in China is a major driver for the China 5G Customer Premises Equipment Market Industry. The government's initiative, as outlined in the '14th Five-Year Plan', emphasizes the importance of digital economy growth, aiming to increase the digital economy's share of GDP to over 10% by 2025. Huawei and ZTE, leading telecommunications equipment manufacturers, are heavily investing in Research and Development to enhance their 5G solutions.

The widespread adoption of IoT and smart technologies among businesses is projected to boost demand for 5G customer premises equipment, contributing to market growth. As per the Ministry of Industry and Information Technology, the number of IoT devices in China is set to exceed 50 billion by 2025, representing significant potential for 5G solutions.

Government Support and Policy Initiatives

The Chinese government has been a strong proponent of 5G network deployment and innovation, creating favorable policies and financial support for 5G infrastructure development. The National Development and Reform Commission has allocated substantial funding for 5G-related projects, which is projected to exceed 20 billion USD by 2025. This funding facilitates the production of high-quality Customer Premises Equipment, making it affordable and accessible.

Furthermore, significant investments from state-owned telecom companies like China Telecom and China Unicom into 5G infrastructure significantly enhance market growth prospects, as they aim to cover 90% of urban areas with 5G networks by 2025, directly stimulating the demand for related equipment.

Increasing Demand for High-Speed Internet Services

The demand for high-speed internet services in China is witnessing an unprecedented increase, bolstered by the rapid expansion of remote work and online services. As more consumers and businesses rely on digital connectivity, the need for reliable and fast internet has soared. The China Internet Network Information Center reported that the number of internet users reached over 1 billion in 2023, indicating a vast market for 5G customer premises equipment.

Leading companies like China Mobile are working towards rolling out advanced 5G networks to meet this demand. Consequently, the expansion of high-speed internet services in urban and rural areas is expected to propel significant growth in the China 5G Customer Premises Equipment Market.

Growth of the Smart Home and Automotive Industry

The increasing consumer adoption of smart home devices and connected vehicles in China is becoming a significant driver for the China 5G Customer Premises Equipment Market Industry. As per statistics from the China Consumer Association, the smart home market is expected to reach a value of 84 billion USD by 2025, with 5G technology providing the necessary speed and low latency required for seamless connectivity. 

Furthermore, major automakers such as BYD and Geely are investing in smart vehicle technologies, which require robust 5G infrastructure for efficient operation.The integration of advanced technology in homes and vehicles highlights the increased demand for reliable customer premises equipment that supports this transformation.

China 5G Customer Premises Equipment Market Segment Insights

5G Customer Premises Equipment Market Equipment Type Insights

The Equipment Type segment of the China 5G Customer Premises Equipment Market is expected to experience robust development, driven by the need for advanced connectivity solutions to accommodate increasing data consumption across various sectors. Modems play a pivotal role in facilitating seamless internet access, serving as a bridge between service providers and end-users, with a significant focus on compatibility with 5G networks. Routers, crucial for directing internet traffic within homes and businesses, are expected to evolve with enhanced functionalities to support higher speeds and more connected devices, thus catering to the surge in demand for smart home technology and IoT applications prevalent in urban China.

Fixed Wireless Access (FWA) Gateway stands out as an essential component for delivering high-speed broadband services to rural areas where traditional infrastructure may not be feasible, presenting opportunities for increased connectivity and playing a vital role in supporting government initiatives to bridge the digital divide. The Mobile Hotspot segment nurtures flexibility in accessing the internet on the go, serving both personal and enterprise needs, particularly in areas where fixed-line connections may lack reliability, thereby supporting mobile workforce trends.

Integrated Access Devices combine multiple functions, which not only streamline installations for users but also represent a growing trend towards simplification in network management in increasingly complex 5G environments. Extenders and Repeaters enhance the range and quality of 5G networks in urban settings, addressing coverage gaps and ensuring reliability as users adopt data-intensive applications. 

The 'Others' category includes innovative solutions that are emerging in the market, showcasing the continuous evolution of technology in response to user needs.Overall, the Equipment Type segment represents a diverse landscape that is crucial to the development and proliferation of 5G technology in China, as the nation emphasizes expanding its digital infrastructure and enhancing connectivity.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

5G Customer Premises Equipment Market Application Insights

The China 5G Customer Premises Equipment Market showcases a diverse array of applications that are integral to the nation’s technological evolution. High-speed Internet Access has emerged as a foundational requirement, enabling fast and reliable connectivity for homes and businesses, thereby fostering digital inclusion. Smart Homes, with an increasing number of connected devices, represent a significant trend as consumers seek convenience and efficiency in daily living. Remote Work and Telecommuting have gained traction, driven by changing work dynamics, highlighting the importance of seamless connections.IoT Connectivity facilitates enhanced communication between devices, supporting various industries, including healthcare and manufacturing. 

Technologies such as VR and AR are gaining momentum, offering immersive experiences across entertainment and training sectors, while Edge Computing becomes essential for processing data closer to the source, reducing latency. Security and Surveillance applications are paramount as businesses and households prioritize safety, bolstered by 5G capabilities. Furthermore, Rural Broadband Connectivity addresses the challenge of digital disparity in less urbanized areas, ensuring comprehensive access to digital resources.As these applications evolve, they collectively contribute to the strengthening of the China 5G Customer Premises Equipment Market landscape, responding to growing consumer and business needs.

5G Customer Premises Equipment Market End-user Vertical Insights

The End-user Vertical segment within the China 5G Customer Premises Equipment Market showcases diverse applications across various industries, reflecting the growing adoption of advanced technologies. Education stands out prominently, enabling enhanced remote learning experiences through high-speed connectivity and innovative technology integration. The Government sector is leveraging 5G capabilities to enhance public services, improve efficiency in administrative processes, and bolster national infrastructure projects. 

In the Industrial sector, the focus is on automation and the Internet of Things (IoT), driving efficiency and productivity improvements in manufacturing and logistics operations.The IT and Telecom industries are pivotal, as they serve as the backbone for 5G service provisioning, ensuring seamless connectivity and robust data management solutions. The "Others" category encompasses various sectors, highlighting the versatility of 5G applications, from healthcare innovations to smart city developments. By emphasizing these areas, the China 5G Customer Premises Equipment Market reflects significant growth drivers that contribute to the overall positive trajectory of market growth and enhanced connectivity nationwide.

China 5G Customer Premises Equipment Market Key Players and Competitive Insights

The China 5G Customer Premises Equipment Market is characterized by a rapidly evolving competitive landscape driven by technological advancements, increased connectivity demands, and the growing adoption of 5G services across various sectors. As more consumers and businesses transition to 5G networks, the market has seen an influx of both established telecommunications firms and innovative startups. This heightened competition has led to the pursuit of differentiated offerings in terms of equipment capabilities, pricing strategies, and overall customer service. Players within this market must constantly innovate to meet the specific needs of clients, ranging from small enterprises to large corporations, all while navigating regulatory challenges and ensuring high-quality standards in their products and services.

Tenda has emerged as a significant player within the China 5G Customer Premises Equipment Market, particularly known for its extensive range of networking devices. The company has carved out a niche by focusing on delivering reliable and high-performance equipment suitable for both residential and commercial applications. Tenda’s strength lies in its commitment to research and development, enabling it to stay ahead of technological trends and customer demands. It has established a robust distribution network across China, allowing for the widespread availability of its products. By emphasizing user-friendly design and affordability, Tenda has managed to capture a diverse customer base, positioning itself effectively against larger competitors while reinforcing its brand presence in the competitive 5G landscape.

China Mobile, as one of the leading telecommunications operators in China, plays a pivotal role in the 5G Customer Premises Equipment Market. With a vast infrastructure and extensive experience in mobile communications, China Mobile has a significant advantage in providing integrated solutions that cater to both individual consumers and businesses. The company offers a wide array of key products and services, including routers, indoor and outdoor 5G antennas, and other networking equipment tailored for enhanced connectivity and performance. Its established market presence is bolstered by strategic mergers and acquisitions that have expanded its technological capabilities and customer outreach. 

The focus on innovation and customer-centric services solidifies China Mobile's position as a formidable entity in the market, further driving the adoption and penetration of 5G technology throughout China.

Key Companies in the China 5G Customer Premises Equipment Market Include

• Tenda


• China Mobile


• Nokia


• TP-Link


• Huawei


• Cisco


• Xiaomi


• OPPO


• Nectec


• Qualcomm


• Meike


• Ericsson


• ZTE


• DLink


• Samsung

China 5G Customer Premises Equipment Industry Developments

In recent months, the China 5G Customer Premises Equipment Market has seen significant developments, particularly with leading companies such as Huawei, ZTE, and China Mobile actively expanding their 5G product offerings. In October 2023, Huawei announced advancements in its 5G solutions aimed at enhancing connectivity for small and medium enterprises. Additionally, Xiaomi has been focusing on its smart home devices to integrate with 5G, further driving market growth. In July 2023, TP-Link launched a new line of 5G routers, catering to the increasing demand for high-speed internet in urban areas. 

Merger and acquisition activity has been limited but marked; for instance, in May 2023, Nokia entered a strategic partnership with a local firm to bolster its 5G capabilities and resources in China. The growth of this market reflects a broader trend of increasing investment in 5G infrastructure, with companies like Ericsson and Qualcomm collaborating on technology to optimize performance. Over the last two to three years, substantial governmental support for the 5G rollout has reinforced advancements across various sectors, leading to a robust competitive environment among major players such as Cisco, Samsung, and DLink, further propelling innovation and capabilities in the customer premises segment.

China 5G Customer Premises Equipment Market Segmentation Insights

5G Customer Premises Equipment Market Equipment Type Outlook

• Modem


• Router


• Fixed Wireless Access (FWA) Gateway


• Mobile Hotspot


• Integrated Access Device


• Extender/Repeater


• Others

5G Customer Premises Equipment Market Application Outlook

• High-Speed Internet Access


• Smart Homes


• Remote Work and Telecommuting


• IoT Connectivity


• VR and AR


• Edge Computing


• Security and surveillance


• Rural Broadband Connectivity


• Others

5G Customer Premises Equipment Market End-user Vertical Outlook

• Education


• Government


• Industrial


• IT & Telecom


• Others

Report Attribute/Metric Source:	Details
MARKET SIZE 2023	6.31 (USD Billion)
MARKET SIZE 2024	8.65 (USD Billion)
MARKET SIZE 2035	300.0 (USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)	38.036% (2025 - 2035)
REPORT COVERAGE	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR	2024
MARKET FORECAST PERIOD	2025 - 2035
HISTORICAL DATA	2019 - 2024
MARKET FORECAST UNITS	USD Billion
KEY COMPANIES PROFILED	Tenda, China Mobile, Nokia, TPLink, Huawei, Cisco, Xiaomi, OPPO, Nectec, Qualcomm, MeiKe, Ericsson, ZTE, DLink, Samsung
SEGMENTS COVERED	Equipment Type, Application, End-user Vertical
KEY MARKET OPPORTUNITIES	Increased demand for smart homes, Growth of IoT applications, Expansion of rural connectivity initiatives, Rise in telecommuting solutions, Adoption of AR/VR technologies
KEY MARKET DYNAMICS	growing demand for high-speed connectivity, increasing adoption of IoT devices, government support for 5G infrastructure, rise in remote working trends, competitive landscape among telecom providers
COUNTRIES COVERED	China