ID: MRFR/ICT/2809-CR | February, 2020 | Region : Global
Global SS7 Market is projected to garner a modest valuation by 2025, registering a 3.1% CAGR during the forecast period (2019–2025).
The Signaling System 7 (SS7) is a standard set of protocols defined for the telecom industry. The system connects one mobile phone network to another, allowing them to exchange the information needed for calls and text messages and to ensure correct billing. SS7 also allows users on one network to switch to another during roaming or traveling in a foreign country. Signaling System No 7 (SS7) technology was first developed in 1975, and nothing much has changed since then, including in its security posture.
Despite the COVID-19 disruption and many vendors now offering 5G-supporting devices in preparation for transitions from 4G to 5G, the SS7 technology is still garnering significant market prominence. Pre pandemic, the SS7 technology was already having a big impact on the telecom industry. Network maturity worldwide has led to lower investments in the Signaling Transfer Points (STP) market.
This, in turn, has highlighted the crucial need to maintain the integrity of the SS7 network, causing major concern to service providers. There have been numerous STP vendors, including most switching equipment vendors and focused suppliers.
Pandemic-related logistics problems prompted SS7 device manufacturing companies to consider new automation & control technologies that offset higher wages and increase efficiency. Resultantly, the global SS7 industry began to garner traction, witnessing continually increasing investments.
Uses of 2G/3G to Bolster the SS7 Market Opportunities
SS7 technology is a key innovation in telecommunication, improving connectivity operations. The rising demand for tear down telephone call connection when the call is complete and advanced solutions for prepaid billing mechanisms drives the signaling system7 market. Besides, increasing service demand for local number portability, short message service (SMS), and various mass-market services boost the SS7 market growth.
Enhanced Network Reliability and Asynchronous Transfer Mode (ATM) Trends
Increasing migration to the intelligent network to increase overall network reliability escalates market growth. Also, the rising adoption of SS7 over asynchronous transfer mode (ATM), migration to IP, and the growing demand for SMSC and MSC due to expansion of SMS drive boost the growth of the market. Besides, the increasing growth in telecommunication sectors worldwide provides significant opportunities for market players.
Restraints & Challenges
Lack of Technical Expertise to Restrain Market Growth
Despite the lucrative growth opportunities, factors such as the lack of technical expertise and network security are estimated to restrict the signaling system 7 (SS7) market growth. SS7 firmly clings to 2G & 3G networks, which is one of the major complexities of the roaming technology. Changing trends in network techniques are projected to act as major growth hindering factors for the market during the forecast period.
Also, compatibility issues and high installation costs are expected to slow down the SS7 market share. Most mobile operators are looking to shut down 2G/3G networks due to the increasing preference for 4G and 5G networks, acting as a significant headwind for the market growth.
Cumulative Growth Analysis
Market Size to Expand at a Strong Rate
Considering the present market scenario, it is estimated that the SS7 market share is expected to increase further during the review period due to the increasing adoption of SS7 technology. SS7-enabled solutions have diverse application areas, such as data center & enterprise networking, industrial automation, and others.
Moreover, the increasing uptake of SS7 firewall and SS7 devices offers ample opportunities for the market and players. Furthermore, augmenting demand for SS7 units and high bandwidth-switches from the burgeoning telecom industry is projected to exponentially drive market growth.
The SS7 market is segmented into components and regions. The component segment is further sub-segmented into solution, SS7 firewall, and devices. By regions, the market is segmented into Americas (US, Canada, Mexico, Rest-of-North America), Asia Pacific (China, Japan, India, South Korea, and Rest-of-the-APAC), Europe (Germany, UK, France, Italy, and Rest-of-Europe), and Rest-of-the-World.
North America to Maintain its Leading Position
North America leads the global SS7 market and would continue to maintain its market position throughout the assessment period. Factors such as technological advances and the early migration to the advanced intelligent network (AIN) and intelligent networks (IN) drive the SS7 market growth.
Additionally, the rising uptake of SS7 to manage intelligent routing, screening services, and number portability (NP) in the region increase the SS7 market share. The US market leads the regional market, followed by Canada and Mexico, mainly due to the well-established telecom sector.
Europe Holds Second Highest Share in Global Market
Europe accounts for the second-biggest share in the global market. The region houses the leading railway signaling systems market and signaling devices market. The increasing adoption of the latest communication network protocols and the need for high data transfer speeds across the region drives the demand for SS7 technology. Additionally, the availability of innovative technologies, such as signaling system7 software and common channel signaling system 7 push the regional market growth.
Players Focus on Product Development to Gain Impetus
The signaling system 7 (SS7) market appears extremely fragmented, considering the presence of established manufacturers. Eminent players seek opportunities to integrate across the extensive value chain while focusing on expanding production capacities, R&D investments, and M&A activities to gain additional impetus. They deliver reliable, leading-edge SS7 technology and SS7 services, substantially investing in developing adept technologies and products.
NetNumber, Inc. is a US-based company delivering platforms that power global telecom and enterprise networks. Its software-based signaling-control solutions accelerate the delivery of new services, such as Private LTE and IoT/M2M solutions across multi-gen networks, simplifying the core and reducing OPEX dramatically. These NetNumber solutions span over a range of network types from 2G-3G-4G-5G to future G delivered on the industry’s most robust signaling platform. Its multi-protocol signaling firewall, fraud-detection, and robocalling solutions help secure networks against current/emerging threats.
December 10, 2020 – The governments of seven African countries, including Botswana, Kenya, Equatorial Guinea, Morocco, Zambia, Nigeria, and Zimbabwe, announced employing surveillance spyware. The snooping technique (Signaling System7/SS7) tracks phones and intercepts calls and texts.
June 24, 2020 – NetNumber, Inc. (the US), a US-based leading global leading provider of centralized signaling and routing control (CSRC) solutions, announced comprehensive SIP security enhancements to its award-winning multi-protocol signaling firewall. This follows growing concerns about protecting SIP connections and the expected growth of SIP traffic by 25% over the next several years.
August 11, 2020 – NetNumber, Inc. launched its Guaranteed Caller™ family of standards-compliant STIR/SHAKEN solutions, extending guaranteed caller service provider to support TDM/SS7 networks.
The report features unique and relevant factors estimated to significantly impact the SS7 industry during the review period. This detailed and considerable amount of information can help industry players understanding the market better. The report elaborates on the historical and current trends boosting the growth of the signaling system 7 market. Additionally, the analysis of COVID-19 impact on the SS7 market is also included in the report.
Regional analysis in this report unlocks several untapped opportunities in regional and domestic markets. Detailed company profiling in the report enables users to evaluate company shares, emerging products, and the scope of the product in emerging markets, pricing strategies, innovation possibilities, and much more.
1 EXECUTIVE SUMMARY
1.1 MARKET ATTRACTIVENESS ANALYSIS
1.1.1 GLOBAL SS7 MARKET, BY COMPONENT
1.2 GLOBAL SS7 MARKET, BY REGION
2 MARKET INTRODUCTION
2.2 SS7 ARCHITECTURE
2.3 SCOPE OF THE STUDY
2.4 RESEARCH OBJECTIVE
2.5 MARKET STRUCTURE
3 RESEARCH METHODOLOGY
3.1 RESEARCH PROCESS
3.2 PRIMARY RESEARCH
3.3 SECONDARY RESEARCH
3.4 MARKET SIZE ESTIMATION
3.5 FORECAST MODEL
3.6 LIST OF ASSUMPTIONS
4 MARKET DYNAMICS
4.1.1 MIGRATION TO INTELLIGENT NETWORK HAS INCREASED THE OVERALL RELIABILITY OF THE NETWORK
4.1.2 INCREASING USE OF SIGNALING SYSTEM7 OVER ASYNCHRONOUS TRANSFER MODE (ATM)
4.1.3 RISING DEMAND FOR SMSC AND MSC DUE TO THE EXPANSION OF SMS DRIVE
4.1.4 DRIVERS IMPACT ANALYSIS
4.2.1 ADVANCEMENTS IN CELLULAR TECHNOLOGIES
4.2.2 LACK OF NETWORK SECURITY
4.2.3 RESTRAINT: IMPACT ANALYSIS
4.3 TECHNOLOGY TRENDS
5 MARKET FACTOR ANALYSIS
5.1 VALUE CHAIN ANALYSIS
5.1.1 RAW MATERIAL SUPPLIERS
5.1.2 SS7 DEVICE MANUFACTURERS
5.2 PORTER’S FIVE FORCES MODEL
5.2.1 BARGAINING POWER OF SUPPLIERS
5.2.2 BARGAINING POWER OF BUYERS
5.2.3 THREAT OF NEW ENTRANTS
5.2.4 THREAT OF SUBSTITUTES
5.2.5 INTENSITY OF RIVALRY
6 GLOBAL SS7 MARKET, BY COMPONENT
6.3 SS7 FIREWALL
7 GLOBAL SS7 MARKET, BY REGION
7.2 NORTH AMERICA
7.3.4 REST OF EUROPE
7.4.4 REST OF ASIA-PACIFIC
7.5 MIDDLE EAST AND AFRICA
7.5.1 GCC ARAB STATES
7.5.2 NORTH AFRICA
7.5.3 OTHER ARAB STATES
7.5.7 SUB-SAHARAN AFRICA
7.6 SOUTH AMERICA
7.6.3 REST OF SOUTH AMERICA
8 COMPETITIVE LANDSCAPE
8.1 COMPETITIVE OVERVIEW
8.2 COMPETITIVE BENCHMARKING
9 COMPANY PROFILES
9.1 RIBBON COMMUNICATIONS
9.1.1 COMPANY OVERVIEW
9.1.2 FINANCIAL OVERVIEW
9.1.3 PRODUCTS/SOLUTIONS/SERVICES OFFERED
9.1.4 KEY DEVELOPMENTS
9.1.5 SWOT ANALYSIS
9.1.6 KEY STRATEGIES
9.2.1 COMPANY OVERVIEW
9.2.2 FINANCIAL OVERVIEW
9.2.3 PRODUCTS/ SOLUTIONS/ SERVICES OFFERED
9.2.4 KEY DEVELOPMENTS
9.2.5 SWOT ANALYSIS
9.2.6 KEY STRATEGIES
9.3 HUAWEI TECHNOLOGIES CO. LTD.
9.3.1 COMPANY OVERVIEW
9.3.2 FINANCIAL OVERVIEW
9.3.3 PRODUCTS/ SOLUTIONS/ SERVICES OFFERED
9.3.4 SWOT ANALYSIS
9.3.5 KEY STRATEGIES
9.4 ERICSSON AB
9.4.1 COMPANY OVERVIEW
9.4.2 FINANCIAL OVERVIEW
9.4.3 PRODUCTS/SOLUTIONS/SERVICES OFFERED
9.4.4 KEY DEVELOPMENTS
9.4.5 SWOT ANALYSIS
9.4.6 KEY STRATEGIES
9.5 PCCW LIMITED
9.5.1 COMPANY OVERVIEW
9.5.2 FINANCIAL OVERVIEW
9.5.3 PRODUCTS/ SOLUTIONS/ SERVICES OFFERED
9.5.4 SWOT ANALYSIS
9.5.5 KEY STRATEGIES
9.6 DIALOGIC CORPORATION
9.6.1 COMPANY OVERVIEW
9.6.2 FINANCIAL OVERVIEW
9.6.3 PRODUCTS/ SOLUTIONS/ SERVICES OFFERED
9.6.4 KEY DEVELOPMENTS
9.6.5 SWOT ANALYSIS
9.6.6 KEY STRATEGIES
9.7 MITEL NETWORKS CORPORATION
9.7.1 COMPANY OVERVIEW
9.7.2 FINANCIAL OVERVIEW
9.7.3 PRODUCTS/SOLUTIONS/SERVICES OFFERED
9.7.4 SWOT ANALYSIS
9.7.5 KEY STRATEGIES
9.8 ORACLE CORPORATION
9.8.1 COMPANY OVERVIEW
9.8.2 FINANCIAL OVERVIEW
9.8.3 PRODUCTS/SOLUTIONS/SERVICES OFFERED
9.8.4 SWOT ANALYSIS
9.8.5 KEY STRATEGIES
9.9.1 COMPANY OVERVIEW
9.9.2 FINANCIAL OVERVIEW
9.9.3 PRODUCTS/SOLUTIONS/SERVICES OFFERED
9.9.4 SWOT ANALYSIS
9.9.5 KEY STRATEGIES
9.10 TNS INC
9.10.1 COMPANY OVERVIEW
9.10.2 FINANCIAL OVERVIEW
9.10.3 PRODUCTS/SOLUTIONS/SERVICES OFFERED
9.10.4 KEY STRATEGIES