Telecom towers are structures that host antennas for wireless network providers, enabling wireless connectivity and communication. Telecom towers support wireless technologies such as 2G, 3G, 4G, and emerging 5G to provide improved network coverage and connectivity. The growing demand for enhanced network coverage and increasing mobile subscriptions are driving the need for installation of new telecom towers across regions.
The global Telecom Towers Market is estimated to be valued at US$ 55.07 Bn in 2023 and is expected to exhibit a CAGR of 3.5% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Increasing mobile subscriptions across the globe, especially in developing regions is a key growth driver for the telecom towers market demand. As per reports, the total number of mobile subscriptions worldwide crossed 8 billion in 2022, reflecting a penetration rate of over 100% globally. Developing regions in Asia Pacific and Africa still have scope for further subscriptions. This has compelled network providers to install new towers to enhance coverage in rural areas and cater to the growing subscriber base. For instance, tower companies in India added over 60,000 new towers in 2021 alone to support increasing 4G adoption in the country. Rapid roll-out of 5G networks will further stimulate demand for more towers with enhanced capabilities over the forecast period.
SWOT Analysis
Strength: Telecom towers have strong infrastructure which can serve multiple telecom operators and generate economies of scale. It reduces capital expenditure for operators.
Weakness: Setting up telecom towers require high initial investment and regulations towards tower construction and site acquisition impacts business operations.
Opportunity: Growth of 5G networks across regions offer opportunities for new tower deployments. Increase in mobile data usage and subscribers base in developing markets will drive demand.
Threats: Natural calamities can damage the tower infrastructure. Shared usage of towers by operators also increases competition to acquire new tenants.
Key Takeaways
The Global Telecom Towers Market Growth is expected to witness high growth. The global Telecom Towers Market is estimated to be valued at US$ 55.07 Bn in 2023 and is expected to exhibit a CAGR of 3.5% over the forecast period 2023 to 2030.
Reginal analysis comprises Asia Pacific region dominates the market currently due to high growth in infrastructure development and mobile subscribers in countries like China and India.
Key players operating in the telecom towers market are American Tower Corporation, AT&T Inc., Bharti Infratel Limited, China Tower Corporation, Crown Castle International Corporation, GTL Infrastructure Ltd, Helios Tower Africa, SBA Communications Corporation, T-Mobile Tower. Mergers and acquisitions remain top strategies adopted by major players to consolidate their positions in the market. They focus on expanding tower portfolio organically and inorganically to maximize tenancy ratio per tower.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
