Japan 5G Base Station Equipment Market size US$1,860.216 million by 2028

5g base station equipment market

Japan 5G Base Station Equipment Market is estimated to reach a market size worth US$1,860.216 million by 2028.

Japan’s 5G base station equipment market is anticipated to grow at a CAGR of 14.89% during the projected period primarily due to the increasing incentives and investments by the Japanese government and major players. The government announced the deployment of 5G technology in March 2020. Four mobile carriers, namely, NTT Docomo, Softbank, KDDI, and Rakuten have been given the license for the rollout of 5G technology.

  • Major business strategies include investments and partnerships.
    • For instance, in November 2020, KDDI and Softbank announced their plans to invest $38B in 5G over the next 10 years. The companies have also formed a joint venture to focus on setting up 5G networks in Japan’s rural areas.
    • In September 2022, NTT Docomo collaborated with HPE for the advancement of Open RAN and to address the demands of 5G. With this initiative, NTT Docomo installed its fourth virtualized base station in Japan.
  • Based on deployment, Japan’s 5G base station equipment market is segmented into urban and rural.

The rural base station is expected to hold a steady CAGR owing to the increased government initiatives. For instance, the Ministry of Internal Affairs and Communications (MIC) has announced “Master Plan 3.0 on the Regional Development of ICT Infrastructure”. The plan includes the deployment of 280,000 base stations 5G by FY2023. The plan also includes the maintenance of infrastructure including rural areas and tunnels.

  • Based on the equipment type, Japan’s 5G base station equipment market is segmented into the central unit, radio unit, and distributed units.

Central units and radio units are expected to witness strong growth over the given period owing to the growing virtualization of RAN. For instance, in March 2021, Nokia entered into a strategic alliance with NEC. They decided to deliver 5G equipment for compatriot telco NTT DoCoMo’s 5G deployment. The delivery of 5G base station products to Docomo comprises of Central Unit (CU) and Radio Unit (RU).

  • On the basis of technology, Japan’s 5G base station equipment market is divided into O-RAN and traditional RAN.

Over the anticipated period, O-RAN would expand owing to its useful features as it provides more options and innovation to the operators.

    • For example, in March 2022, KDDI, a leading Japanese telecommunications provider, formed an alliance with HPE.  The former is using the HPE ProLiant DL110 Gen10 Plus – Telco server for the commercial network operation of O-RAN-compliant 5G standalone base stations and is optimized for edge applications requiring high bandwidth and low latency.
  • On the basis of configuration, Japan’s 5G base station equipment market is divided into standalone and non-standalone.

Over the forecast timeframe, Standalone is expected to hold a major share by 2028 owing to growing investments and partnerships by the market players.

    • For instance, in 2021, NEC Corporation formed an alliance with NTT Docomo. NEC was selected by NTT DOCOMO as a vendor of a 5G mobile core network (5GC) compatible with Standalone (SA) 5G that NTT DOCOMO had planned to launch in 2021.
  • By frequency band, Japan’s 5G base station is segmented into 3.7 GHz and 4.5 GHz Bands, and 28GHz.

The 28GHz frequency band will grow at a steady pace owing to its properties that transmit higher data rates even in dense areas. The four major mobile operators have been allotted the frequency bands for the deployment of their 5G network across the country.

Various companies are conducting trials for their respective frequency bands to know their efficiency. For instance, Samsung and KDDI announced the successful 5G testing with real-time transmission of 4K ultra-high-definition (UHD) surveillance video on a train platform. The testing was done using a 28GHz band 5G base station to enhance passenger safety in Tokyo.

As a part of the report, the major players operating in Japan’s 5G base station equipment market are NEC, Futijsu, HPE, Samsung, KYOCERA Corporation, Nokia, Ericsson, and Anritsu Corporation.

View a sample of the report or purchase the complete study at https://www.knowledge-sourcing.com/report/japan-5g-base-station-equipment-market

This analytics report segments Japan’s 5G base station equipment market on the following basis.

  • By Deployment

o   Urban

o   Rural

  • By Equipment Type

o   Central Unit

o   Distributed Unit

o   Radio Unit

  • By Technology

o   O-RAN

o   Traditional RAN

  • By Configuration

o   Standalone

o   Non-Standalone

  • By Frequency Band

o   3.7 GHz and 4.5 GHz Bands

o   28 GHz Band