5G Cell Tower Market Size, Share, Opportunities, And Trends By Type (Monopole, Lattice, Guyed), By Deployment (Rural, Urban), By End-Users (CSPs/MNOs, Enterprises), And By Geography - Forecasts From 2024 To 2029

The 5G cell tower market is projected to grow at a CAGR of 10.93% from 2022 to 2029.

GROWTH DRIVERS

• Surge in the demand for wireless networks and shift towards 5G

Cell towers, also known as cell bases or cell sites, serve as installations where antennas and electronic communication equipment are positioned. These towers play a crucial role in facilitating the use of cell phones, radios, and various wireless communication devices in the surrounding areas. In the context of wireless communication, the term "line of sight" pertains to the unobstructed path that radio waves follow from the transmitting antenna (e.g., a cell tower) to the receiving antenna, such as a smartphone. Line of sight becomes particularly significant in higher frequency bands like those employed in 5G networks, where shorter wavelengths make the signals more susceptible to absorption or reflection by obstacles. To ensure effective communication, cell towers are often elevated, and technologies like beamforming are employed to direct the radio signal specifically toward the receiver.

For instance:

4G networks typically function within lower frequency bands, reaching up to 2.5 GHz, whereas 5G technology is engineered to utilize a broader spectrum, encompassing higher frequency bands of up to 100 GHz. In comparison to 4G, 5G cell towers can offer significantly faster data speeds. To illustrate, while 4G LTE networks can achieve peak speeds of approximately 100 Mbps, 5G networks theoretically have the potential to provide speeds reaching up to 10 Gbps, representing a hundredfold increase.

• The wireless data usage volume in India witnessed a growth of over seven times, rising from 4,206 petabytes in Q1, FY18 to 32,397 petabytes in Q1, FY22.
• As of April 30, 2023, 92.5% of the rural population in Uttarakhand has access to 4G mobile signals. The state has a total of 1.4 crore mobile subscribers and 3.2 lakh wireline subscribers. The network infrastructure includes 9,000 towers with 33,000 BTS, and a significant number of these towers in Uttarakhand have been enhanced to support 5G capacity.
• On March 25, 2020, DOCOMO initiated a limited commercial 5G service in major Japanese cities. The company aims to invest more than $7 billion by 2025 to extend its network coverage to 97% of the populated areas in Japan. This expansion strategy involves the installation of 8,001 base stations operating in the 3.7GHz and 4.5GHz spectrum bands, along with 5,001 base stations in the 28GHz band.
• South Korea, the United States, China, and Japan emerged as the primary adopters of 5G devices. Projections, in terms of the share of total connections (excluding the Internet of Things), indicated that by 2025, an estimated 59 percent of South Korea's connections, 50 percent of the United States', and 48 percent of Japan's would be 5G. Consumer surveys reflected a high demand for 5G devices in China, where 46 percent of the adult population expressed an intention to upgrade to a 5G device as soon as it became available, in contrast to 28 percent in the United States.

Increasing demand for 5G devices

The growing demand for 5G devices is indicative of a broader shift towards advanced telecommunications technology, emphasizing the pivotal role that 5G cell towers play in enabling enhanced connectivity. While aesthetic and health-related concerns persist, the imperative to meet the escalating demand for faster, more reliable, and low-latency communication drives the continued deployment of these infrastructure elements. Balancing public concerns with the undeniable necessity for 5G infrastructure remains a key challenge in the ongoing evolution of telecommunications networks.

In the fiscal year 2023, the export value of mobile phones reached US$ 10.84 billion, equivalent to approximately Rs. 90,000 crores. Additionally, in the period spanning April to June 2023, the export figures for electronic goods were approximated at US$ 6.89 billion. This signifies a substantial contribution from the mobile phone sector to the overall export performance, showcasing its economic significance. The robust export figures during April-June 2023 for electronic goods further underscore the strength of the electronic industry in international trade. The data highlights the continuous growth and global demand for mobile phones and other electronic products, contributing significantly to the country's export revenue.

In September 2023, Nokia unveiled a range of industrial 5G devices designed to ensure the safety, connectivity, and information access of enterprise teams and public safety workers operating in hazardous and industrial settings like ports, mines, chemical plants, and offshore oil platforms through private wireless networks. The company introduced new ruggedized 5G handheld devices, a novel industrial device consumption model, and improvements to applications related to workers and devices. With the integration of these additions into Nokia's comprehensive platform for industrial digitalization, coupled with its private wireless and edge applications, the company solidifies its position as an industry leader, offering a market-leading portfolio. This move underscores Nokia's commitment to assisting industrial enterprises in navigating their digital transformation journeys, aiming to enhance the safety, productivity, and efficiency of their operations.

FAVOURABLE GOVERNMENT REGULATIONS

According to information gathered from Telecom Service Providers (TSPs), the Department of Telecom's field unit, and State Governments as of March 2022, out of the 644,131 villages (as per the data of the Registrar General of India in November 2019), approximately 605,230 villages have mobile coverage, while 38,901 villages lack mobile towers and coverage. The Government and Telecom Service Providers (TSPs) are working collaboratively to extend telecommunication connectivity across the country in a systematic manner.

The Indian government has given the green light for the installation of 2,605 4G mobile towers, aimed at providing connectivity to over 3,721 villages in Arunachal Pradesh. The project has a total budget of Rs 2,675 crore. These towers are designed to extend 4G coverage to villages that previously lacked such connectivity, bringing digital access to 336 villages, including areas that have been without connectivity since Independence. It is anticipated that more than 70,000 subscribers will benefit from this initiative, with an expected monthly data usage of over 40TB.

EMERGING OPPORTUNITIES IN THE 5G CELL TOWER MARKET

Floating Cell Tower

Floating or flying cell towers, also known as telecommunications equipment, operate without direct connections to a base tower and have the capability to transmit cellular network signals from extremely high altitudes to the Earth. In contrast, traditional cell towers, referred to as cell bases or cell sites, are fixed to the ground and vary in height and telecom components. Traditional cell tower locations can include towers, rooftops, water tanks, raw land, billboards, and more. In contrast, floating and flying cell towers are positioned in the stratosphere or Earth's upper atmosphere, utilizing either a balloon-tethered structure or a drone-carrying structure. Both systems are powered by solar energy.

HAPS Alliance envisions the stratosphere as a key driver for substantial growth in the $3.9 trillion mobile technologies and services industry. By deploying a fleet of "floating cell towers" operating in the stratosphere, several kilometers above the flight paths of jet aircraft, they aim to connect millions of people in unconnected areas, facilitate reconnection after disasters, support the development of next-generation 5G networks, and provide connectivity for the future of Internet of Things (IoT) devices. In addition to telecommunications services, this array is expected to contribute to high-resolution earth observation, weather prediction, and atmospheric modeling. The HAPS initiative has the potential to enable the deployment of IoT devices in remote regions and disaster-affected areas.

MAJOR PLAYERS IN THE MARKET

5G Cell Tower Market Scope:

SEGMENTATION

The 5G cell tower market has been analyzed through the following segments:

• By Type
  • Monopole
  • Lattice
  • Guyed
• By Deployment
  • Rural
  • Urban
• By End-Users
  • CSPs/MNOs
  • Enterprises
• By Geography
  • Americas
    • USA
    • Others
  • Europe Middle East and Africa
    • Germany
    • UK
    • Others
  • Asia Pacific
    • China
    • Japan
    • South Korea
    • Others

1. INTRODUCTION

1.1. Market Overview

1.2. Market Definition

1.3. Market Segmentation

2. RESEARCH METHODOLOGY  

2.1. Research Data

2.2. Assumptions

3. EXECUTIVE SUMMARY

3.1. Research Highlights

4. MARKET DYNAMICS

4.1. Market Drivers

4.2. Market Restraints

4.3. Bandwidth Availability

4.4. Number of Users

5. GOVERNMENT REGULATIONS/POLICIES

6. 5G CELL TOWER MARKET BY TYPE

6.1. Introduction

6.2. Monopole

6.3. Lattice

6.4. Guyed

7. 5G CELL TOWER MARKET BY DEPLOYMENT

7.1. Introduction

7.2. Rural 

7.3. Urban

8. 5G CELL TOWER MARKET BY End-User

8.1. Introduction

8.2. CSPs/MNOs

8.3. Enterprises

9. 5G CELL TOWER MARKET BY GEOGRAPHY

9.1. Introduction

9.2. Americas

9.2.1. United States

9.2.2. Others

9.3. Europe, Middle East and Africa

9.3.1. Germany

9.3.2. UK

9.3.3. Others

9.4. Asia Pacific

9.4.1. China

9.4.2. Japan

9.4.3. South Korea

9.4.4. Others

10. RECENT DEVELOPMENT AND INVESTMENTS

11. COMPETITIVE ENVIRONMENT AND ANALYSIS

11.1. Major Players and Strategy Analysis

11.2. Vendor Competitiveness Matrix

12. COMPANY PROFILES

12.1. American Tower Corporation (ATS TRS V LLC)

12.2. China Tower Corporation Limited

12.3. Indus Towers Limited

12.4. Cellnex

12.5. Vantage Towers

12.6. Crown Castle

12.7. SBA Communications Corporation

12.8. IHS Holding Limited

12.9. GTL Infrastructure Limited

12.10. Helios Tow

American Tower Corporation (ATS TRS V LLC)

China Tower Corporation Limited

Indus Towers Limited

Cellnex

Vantage Towers

Crown Castle

SBA Communications Corporation

IHS Holding Limited

GTL Infrastructure Limited

Helios Tow