1.1 Key Deliverables of the Study
1.2 Study Assumptions
1.3 Research Methodology
2. Executive Summary
3. Market Insights
3.1 Market Overview
3.2 Industry Value Chain Analysis
3.3 Industry Attractiveness - Porter’s Five Force Analysis
3.3.1 Bargaining Power of Suppliers
3.3.2 Bargaining Power of Consumers
3.3.3 Threat of New Entrants
3.3.4 Threat of Substitutes
3.3.5 Intensity of Competitive Rivalry
4. Market Dynamics
4.1.1 High Penetration Rate Modular Instrumentation
4.1.2 Rapid Increase in Data Traffic with Increasing Adoption of LTE-A
4.1.3 Adoption of 802.11Ac and Mimo Technologies
4.1.4 Adoption of Modular Instrumentation
4.2.1 RF Design, Flexibility and Size Issues of the Equipment
4.2.2 Evolving RF Standards
5. Market Segmentation
5.1 By Type
5.1.1 Modular GP Instrumentation
5.1.2 Traditional GP Instrumentation
5.1.3 Semiconductor ATE
5.1.4 Rental GP
5.2 By Components
5.2.1 RF Analyzers
5.2.2 RF Oscillators
5.2.3 RF Synthesizers
5.2.4 RF Amplifiers
5.2.5 RF Detectors
5.3 By End-User Industry Verticals
5.3.2 Aerospace & Defense
5.3.3 Consumer Electronics
5.4 By Region
5.4.1 North America
18.104.22.168 United States
22.214.171.124 United Kingdom
126.96.36.199 Rest of Europe
188.8.131.52 South Korea
184.108.40.206 Rest of Asia-Pacific
5.4.4 Latin America
220.127.116.11 Rest of Latin America
5.4.5 Middle East & Africa
18.104.22.168 Saudi Arabia
22.214.171.124 United Arab Emirates
126.96.36.199 Rest of Middle East & Africa
6. Competitive Intelligence - Company Profiles
6.1 Keysight Technologies
6.2 Rohde & Schwarz GmbH & Co KG
6.3 Viavi Solutions
6.4 Yokogawa Electric
6.5 Teledyne Technologies
6.6 Teradyne Inc.
6.7 Cobham PLC
6.8 Gigatronics Inc.
6.9 Anritsu Corporation
6.10 TESSCO Technologies, Inc.
7. Investment Analysis
8. Future of the Market
Global RF Test Equipment Market - Growth, Trend and Forecasts (2018 - 2023)
The Global RF test equipment market was valued at USD 2.22 billion in 2017 and is expected to reach USD 2.98 billion by 2023 at a CAGR of 5.04% over the forecast period of 2018–2023. The report’s scope offers insights on the solutions offered by major players including providers of hardware, professional services, and associated solutions. The regions included in the study are North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa. The study includes insights on various component based RF test equipment such as RF analyzers, RF oscillators, RF synthesizers, RF amplifiers, RF detectors and others. The end-user industry verticals considered are telecommunication, aerospace & defense, automotive, etc.
Radiofrequency (RF) test equipment is used to compute signals at a higher frequency range than that supported by any other general test equipment. Along with standard measurement functionality, they also have specialized functions to determine the characteristics of an RF signal (radio waves transmitted within the frequency range of 3 hertz to 300 megahertz). A radio frequency field is an alternating current, which when transmitted through an antenna supports wireless broadcasting and generates an electromagnetic field for communication. Expansion of communication technology and rising usage of RF test equipment in telecommunication devices are the primary factors driving this market. Moreover, designing challenges and size of the material are few bottlenecks to the market growth and development.
Major Driver: Rising Data Traffic with Increasing LTE-A Adoption
High adoption rates of smartphones and other modules have tremendously increased data traffic. Data traffic and the number of the data centers are growing due to the surging bandwidth consumption for a wide variety of applications and services resulting in increased data handling. Mobile operators are continually improving the quality of their services by monitoring the output power transmitted and analyzing them with the help of excellent sources. A study of Ericsson indicates that monthly mobile data traffic per smartphone increased in all regions. North America witnessed the highest usage, as traffic reached approximately to 7.1 GB per month per smartphone in 2017 and is projected to increase to 48 GB by the end of 2023. Western Europe experienced the second highest usage, with traffic reaching around 4.1 GB in 2017 and 28 GB by the end of 2023. The high average usage in India was estimated to reach 3.9 GB per month per smartphone in 2017, accredited to introductory LTE offer by an operator in 2016, and the competitors are trying to counter it with similar plans. Data traffic is expected to continue to grow, reaching 18 GB per month per smartphone in 2023. In 2023, monthly global mobile data traffic is expected to surpass 100 EB. At the end of 2017, it hovered around 16 to 17 EB.
With LTE-A standard becoming a norm, meeting consumers’ demand, ensuring higher coverage and providing quality services is the primary focus of companies in this sector. The rising adoption rate of LTE-A has contributed toward the growth of this market in terms of low ownership costs for the operators and increased network flexibility. The market is witnessing growth, creating opportunities for test equipment vendors across the globe.
North America Leading in Technological Advancements and Demand
Having test equipment with advanced technologies integrated into it has been a boosting factor to the telecom industry in North America. Increased demand from telecommunication and consumer electronics sector is the primary factor driving the market. The United States, being a mature market for RF testing equipment, stands tall in this region, due to the popularity of LTE and LTE-A technology. Data traffic in North America is increasing day by day, and as a result, the market in this region is expected to attain substantial growth by 2023 with more connections at a higher data traffic rate expected to clock at 48 GB per smartphone.
Globally more than 250 million subscriptions were added to LTE in the first quarter of 2017 alone, and the adoption rate of LTE is witnessing substantial growth every year. The penetration rate of modular GP instrumentation compared to the traditional type is high in North America and is a major factor driving the North American market. With telecommunication requirements skyrocketing, there is a growing need for various products like analyzers and detectors in the industry. The test and measurement business operates in different telecommunication verticals like mobile market, including smartphones and other handsets, and the network infrastructure market, including wireless base stations and optical communications networks.
The telecommunications industry in Europe has been witnessing a decline over the last few years. Unlike Europe, other regions like North America and Asia-Pacific are witnessing a continuous increase in revenue in this industry. The growth of mobile and tablets sector will fuel the growth in the telecom industry.
Key Developments in the Market