The Terrestrial Trunked Radio Market is estimated to be valued at US$ 5.25 Bn in 2023 and is expected to exhibit a CAGR of 9.3% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Terrestrial trunked radio (TETRA) is a professional mobile radio and two-way transceiver specification. TETRA was specifically designed for use by government agencies, emergency services, transportation, and commercial users. It provides user authentication, advanced talk groups, and push-to-talk group broadcast calls. TETRA systems offer features such as direct-mode operation, discrete and dynamic grouping, priority call and late joiner, encryption, and transmit interrupt.
Market Dynamics:
The growing public safety investment to upgrade existing terrestrial trunked radio infrastructure is one of the major drivers of the terrestrial trunked radio market growth. For instance, according to the 2019 budget proposal released by the Indian government, it allocated around US$ 5.6 billion for public safety and disaster management. Similarly, increasing incidence of natural calamities and terrorist activities have compelled governments worldwide to focus on advancing public safety networks which will propel the demand for terrestrial trunked radios in the coming years. Additionally, terrestrial trunked radio offer features like interoperability and mission critical communication capabilities which makes it ideal for transportation, utilities, and commercial sectors. For example, in railways it offers secure communication for train operations and track maintenance crews.
Segment Analysis
The global terrestrial trunked radio market is dominated by the Tier 3 & Tier 4 cities segment. This segment accounts for over 45% share of the total market owing to growing communication needs of industrial units, transportation sector and public safety organizations in smaller cities & rural areas. While voice communication remains the primary segment, there is increasing demand for broadband push-to-talk services from utility companies operating across large geographical areas.
PEST Analysis
Political: Regulations around use of specific frequency bands and encryption standards influence product development cycles. Economic: Infrastructure development initiatives in developing nations are driving new system deployments. Social: Changing communication patterns among industries and focus on employee safety is propelling the adoption of reliable networks. Technological: Integration of LTE technology enables support for data and broadband communication capabilities.
Key Takeaways
The Global Terrestrial Trunked Radio Market Size is expected to witness high growth, exhibiting CAGR of 9.3% over the forecast period, due to increasing spending on public safety networks by municipal bodies.
The Asia Pacific region is expected to emerge as the fastest growing as well as the largest regional market over the coming years. This can be attributed to rising investments in smart city initiatives and transportation infrastructure in major economies such as China and India.
Key players operating in the terrestrial trunked radio market are Motorola Solutions, JVCKENWOOD, Hytera Communications, Sepura, Simoco Wireless Solutions, and Tait Communications. Motorola Solutions dominates with over 18% market share backed by its extensive product portfolio and widespread distribution network.
Regional analysis
The Asia Pacific region is expected to witness the highest CAGR of over 11% during the forecast period owing to rapid economic development, growing industrialization and ongoing infrastructural projects. China, Japan and India are emerging as major markets in the region. For example, Indian government’s initiatives such as Smart Cities and Make in India are driving new deployments.
Key players
Key players operating in the terrestrial trunked radio market are Motorola Solutions, JVCKENWOOD, Hytera Communications, Sepura, Simoco Wireless Solutions, Tait Communications, Codan Radio Communications, Cisco Systems, Harris Corporation, and PowerTrunk. Motorola Solutions leads with wide distribution network and continuous investments in R&D. Hytera Communications is one of the top players catering to the Chinese marketplace while Tait Communications has a strong presence in Australian and New Zealand markets.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
