Fixed-Mobile Convergence Market: Information by Convergence Type (Network Convergence, Device Convergence, and Application Convergence), Mode (Dual Mode and Single Mode), Component [Service (Voice, Videotelephony, Social Networking, Broadband Internet, Broadband TV, and Others) and Infrastructure (Network, Office CPE, Consumer CPE, Others)], End-User (Home Users, Enterprises: IT & Telecommunication, BFSI, Automotive, Healthcare, Media & Entertainment, Government, and Others), and Region (North America, Europe, Asia-Pacific, and Rest of the

Fixed-Mobile Convergence Market OverviewFixed-mobile convergence market is estimated to register a CAGR of over 12.16% to reach USD 8.84 Billion by the end of 2030

Fixed-mobile convergence (FMC) is an architecture that helps telecommunication operators utilize both fixed and wireless network resources and infrastructure. With the help of FMC architecture, operators can deliver data, voice, and video services to enterprises and individual customers. Over and above the services, telecommunication operators can offer various value-added services to their customer base. In a typical FMC architecture, there are several players involved, namely, the equipment, core network, software, and content delivery providers.

COVID-19 Impact vs. Opportunities for the Global Fixed-Mobile Convergence Market:

• Impact on Network Performance

Prior to the onset of the COVID-19 pandemic, faster-networking devices technology was poised to expand the market, with a constant growth rate of networking devices sold per capita. The unexpected shift in traffic demand from city centers to residential regions and the sudden increasing dependence of numerous sectors on both mobile and fixed networks caught service providers off guard.

• Impact on IT Industry

Many countries saw a rise in demand for inpatient and intensive care unit beds and related healthcare services and resources as the deadly COVID-19 outbreak expanded rapidly. The healthcare systems have also been put under a lot of strain to fulfill the record demand for healthcare while still providing inpatient and outpatient treatments for other medical requirements.

• Impact on Rural Areas

Due to low access and inadequate coverage by fixed broadband and mobile networks, rural areas are the hardest hit by the epidemic. This is because such areas primarily consist of low-income households, sparse settlements, and mostly erratic electricity supply (for developing countries), as well as network operators' perceived low-profit margins compared to the investment required for broadband wired or wireless connectivity. As working from home to reduce the spread of infection and ensure the safety of workers on site has become a norm, fewer workers are being engaged for site operations. Thus, detecting and restoring normal functions of cells in outages may be difficult during this period.

• Impact on Telecommunication Industry

The telecommunications industry has seen enormous technical developments over the last few decades, with flexibility, connectivity, and Internet services increasing worldwide. The outbreak of COVID-19 has increased in several regions, imposing limits on movement, with everyone having requested to stay at home

Market Dynamics:

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  Drivers
  
  
  
  • Growing Adoption of FMC to Save Operational Costs:
  
  
  
  

FMC has gathered considerable importance in the telecommunication industry. Integrated operators—who own both fixed and mobile networks—are keen on exploring the benefits of FMC to save on costs and generate revenues. Based on the IMS core control architecture, the converged network is expected to help operators reduce operational costs. The IMS-based FMC services give operators flexibility in selecting networks and terminals, helping them meet their operational demands.

• Rising Adoption of FMC to Offer Unified Converged Communication Network and Faster Service Delivery:

FMC offers several benefits both to the operators and enterprises. For operators, FMC is expected to help in reducing services time to market, while, for enterprises, FMC offers unified communication from anywhere, at any time, and at affordable rates. Operators can create value for their customers through FMC. More than providing just the communication services at a lower cost, operators can offer a seamless experience to the customer, thereby helping in reducing the churn rate and increasing the average revenue per user (ARPU).

Opportunities

• Emergence of 5G Network:

The emergence of the 5G network is an opportunity to deploy FMC. According to subject matter experts, 5G is expected to make FMC a considerable success in the future. The telecom operators and standards groups are making efforts to develop a common 5G converged core network. In February 2019, the Broadband Forum, a non-profit industry consortium dedicated to developing broadband network specifications, delivered recommendations to the 3rd Generation Partnership Project—a standards organization that develops protocols for mobile telephony. The 3GPP is responsible for 5G standards, for common interfaces between access networks and 5G core networks that would support both wireline and wireless access. The aim was the creation of a converged network where services can be delivered over any access network, whether fixed-line, Wi-Fi, Bluetooth, or 3GPP-based access, such as 4G LTE or 5G New Radio.

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  Restraints
  
  
  
  • Regulations Imposed by Governments in Various Countries:
  
  
  
  

The trend of convergence of fixed and mobile communications is growing and is an important part of communications. The complementarity of the two technology families—fixed and mobile—is expected to progress further with 5G. The existing fixed infrastructure is expected to supply backhaul for mobile infrastructures.

• Value Chain Analysis

The fixed-mobile convergence market is growing steadily; it is expected to advance its pace in the future. This is due to the rising need among enterprises for unified communication. Additionally, with the growing migration of telecom operators towards FMC infrastructure, the global market is expecting new entrants to offer more value-added services. The value chain of FMC includes equipment providers, network and software providers, and telecom operators. All these stakeholders work in partnership to offer efficient FMC services to enterprises and individuals.

Segment Overview

The global fixed-mobile convergence market has been segmented on the basis of convergence type, mode, component, end-user, and region.

By convergence type, the fixed-mobile convergence market has been divided into device convergence, network convergence, and application convergence. In 2020, the network convergence segment accounted for the largest market share of 53.6%. It is expected to register a CAGR of 14.2% during the forecast period.

By mode, the fixed-mobile convergence market has been segmented into single mode and dual mode fixed. The single-mode fixed-mobile convergence (FMC) enables fixed and mobile networks to interwork for convergent and full-service operation. The dual-mode FMC relies on dual-mode phones and phone-based clients to enable users to roam between a wireless LAN and a cellular network seamlessly

Based on component, the fixed-mobile convergence market has been divided into infrastructure and service. The infrastructure segment has been further classified into network, consumer CPE, office CPE, and others. Additionally, the service segment has been classified into voice, video telephony, social networking, broadband Internet, broadband TV, and others.

By end-user, the fixed-mobile convergence market has been segmented into home users and enterprises. The enterprise user segment has been further classified into IT & telecommunications, BFSI, automotive, healthcare, media & entertainment, government, and others. Consumers demand innovative technology with faster and more secure services. As consumer trends begin to shift, service providers are competing to offer optimum and efficient services, which is driving the telecom market considerably.

Regional Analysis

The fixed-mobile convergence market has been studied across Asia-Pacific, North America, Europe, and the Rest of the World. In 2020, Europe accounted for the largest market share of 45.1%. It is expected to register a CAGR of 14.3% during the forecast period. This can be attributed to the increase in the adoption of fixed-mobile convergence to reduce operational costs, which is one of the key factors driving the market growth.

China is one of Asia-Pacific's most important markets for FMC. Enterprises are increasingly deploying convergent services to minimize complexity and obtain better value, with the FMC industry growing rapidly in terms of commercial solutions.

The US is the most crucial country in North America, with the biggest market share. Cisco Systems Inc., IBM Corporation, Comcast Corporation, and Qualcomm Technologies, Inc. are all headquartered in the US and substantially invest in developing this technology.

Competitive Landscape

Telefonaktiebolaget LM Ericsson (Sweden), Deutsche Telekom (Germany), Vodafone Group PLC (UK), Orange SA (France), The Proximus Group (Belgium), Turk Telekom (Tukey), Turkcell (Turkey), Ooredoo QSC (Qatar), Nokia (Finland), Cisco Systems, Inc. (US), FUJITSU (Japan), Huawei Technologies Co., Ltd (China), Samsung (South Korea), and ZTE Corporation (China) are the major players in the Fixed-Mobile Convergence market. They primarily focus on the development of sophisticated Fixed-Mobile Convergence. Cisco focuses on partnerships and new product developments to establish a strong position in the fixed-mobile convergence market. The company invests significantly in R&D to enhance its product portfolio and maintain a strong market presence. It aims to expand its geographic presence and customer base through collaborations and partnerships.

The vendors with better technical and financial resources can develop innovative products that render the competitors' products obsolete and non-competitive even before they are launched or recover costs. Therefore, vendors are developing new technologies and staying abreast of emerging technologies that could affect the continuing competitiveness of their product lines in the market.

Recent Developments

• In June 2021, Turk Telekom and Ericsson partnered to deploy Ericsson Dynamic Activation (EDA), a provisioning platform for the quick and automated activation of telecommunications services in mixed network environments.


• In May 2021, Deutsche Telekom launched Multipath for Fixed Mobile Convergence on Campus. It launched and evaluated Multipath capabilities to power an AGV by enabling it to connect to both Wi-Fi and a 5G Standalone (SA) network simultaneously.


• In November 2020, Orange Romania, a subsidiary, signed a deal to acquire a 54% controlling stake in Telekom Romania Communications (“TKR”), in a transaction that will significantly give Orange SA to serve customers for convergent services in the Romanian market.


• In October 2019, Nokia launched several new additions to its Fixed Wireless Access (FWA) portfolio, which offers greater flexibility to FWA deployments. Its new FastMile 5G Gateway supports additional 5G bands to increase regional coverage, introduces new features that simplify, self-install, and integrate Wi-Fi 6 to ensure 5G speeds and low latency are carried to every corner of the home.

Report Overview

FMC has seen tremendous growth in the past couple of years. The global market has been classified based on convergence type, mode, component, end-user, and region. The key factors contributing to the growth of the fixed-mobile convergence market include the growing adoption of fixed-mobile convergence to save operational costs and the rising adoption of FMC to offer a unified converged communication network and faster service delivery. Cisco (US), Ericsson AB (Sweden), Nokia (Finland), Huawei Technologies Co., Ltd (China), and ZTE Corporation (China) are expected to be the major players in the fixed-mobile convergence market during the projected period.

Objective of the Study

• To provide a comprehensive analysis of the fixed-mobile convergence market and its sub-segments in the global market, thereby providing a detailed structure of the industry


• To provide detailed insights into factors driving and restraining the growth of the global fixed-mobile convergence market


• To estimate the market size of the global fixed-mobile convergence market where 2019 would be the historic period, 2020 shall be the base year, and 2021 to 2027 will be the forecast period for the study


• To analyze the global fixed-mobile convergence market in four main geographies, namely, North America, Europe, Asia-Pacific, and the Rest of the World


• To provide country-wise market value analysis for various segments of the fixed-mobile convergence market


• To provide strategic profiling of key companies present across the globe and comprehensively analyze their competitiveness/competitive landscape in this market


• To provide a value chain for the fixed-mobile convergence market

Scope of the Report

The scope of the global fixed-mobile convergence market study includes the market size analysis and a detailed analysis of the vendor’s products and strategies. The fixed-mobile convergence market has been segmented based on convergence type, mode, component, end-user, and region.

Intended Audience

• Fixed-Mobile Convergence Product Manufacturers


• Suppliers and Traders of FMC and Related Products


• Government, Associations, and Industrial Associations


• Investors and Trade Experts