PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1808873
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1808873
The Telecom Electronic Manufacturing Services Market size was valued at US$ 223,209.53 Million in 2024, expanding at a CAGR of 7.50% from 2025 to 2032.
Telecom Electronic Manufacturing Services (EMS) represent a distinct category of electronics manufacturing in which firms engage in the design, production, testing, and distribution of electronic components and assemblies tailored specifically for the telecommunications sector. These services facilitate the manufacturing of a range of telecommunications equipment, including routers, switches, antennas, and network infrastructure. By delegating these responsibilities, telecom companies can concentrate on their primary strengths, including network management and service provision.
Telecom Electronic Manufacturing Services Market- Market Dynamics
Increasing demand for consumer electronics is expected to drive the growth of the market.
Smartphones, smart TVs, wearable devices, and IoT-enabled gadgets necessitate robust communication systems, leading telecom equipment manufacturers to expedite production. In order to efficiently satisfy this demand, OEMs are increasingly turning to EMS providers for cost-effective, high-volume, and precision-oriented manufacturing. This trend is further bolstered by the swift deployment of 5G networks, which improve the performance of consumer electronics and drive the requirement for advanced telecom components and hardware. Online sales from all 72 category retailers within the Top 1000 exceeded USD51.3 billion in 2022, an increase from USD48.1 billion in 2021. Total online sales for the top 1000 in this category rose by approximately USD3.25 million in 2023, as reported by Consumer Electronics Ecommerce Statistics. Additionally, the demand for green and energy-efficient telecom equipment may present growth opportunities for the market. However, supply chain disruptions could hinder market expansion.
Telecom Electronic Manufacturing Services Market- Key Insights
As per the analysis shared by our research analyst, the global market is estimated to grow annually at a CAGR of around 7.50% over the forecast period (2025-2032)
Based on product type segmentation, Electronic Manufacturing was predicted to show maximum market share in the year 2024
Based on End-User segmentation, Telecommunication Equipment Manufacturers was the leading End-User in 2024
Based on region, North America was the leading revenue generator in 2024
The Global Telecom Electronic Manufacturing Services Market is segmented on the basis of Product Type, End-User, and Region.
The market is segmented into four categories according to product type: Electronic Design & Engineering, Electronics Assembly, Electronic Manufacturing, Supply Chain Management, and Others. Electronic Manufacturing is at the forefront of market growth. It spearheads the expansion of the Telecom Electronic Manufacturing Services (EMS) sector, propelled by the increasing demand for sophisticated telecommunications infrastructure, such as 5G networks, fiber optics, and IoT-enabled devices. As telecom companies progressively outsource manufacturing to cut costs and speed up time-to-market, EMS providers are essential in the assembly of printed circuit boards (PCBs), radio frequency modules, routers, and base station equipment. The capability of EMS providers to deliver scalable production, design assistance, and quality assurance renders them vital in supplying high-performance telecom hardware.
The market is segmented into four categories according to End-User: Telecommunication Equipment Manufacturers, Consumer Electronics, Automotive, and Industrial. Telecommunication Equipment Manufacturers lead the market growth. They are increasingly depending on EMS providers to optimize production, lower operational expenses, and speed up product development. The growing demand for high-performance networking devices, including 5G base stations, fiber optic modules, routers, and satellite communication systems, has prompted telecom OEMs to collaborate with EMS firms for extensive, high-precision manufacturing. These manufacturers gain from the EMS providers' proficiency in PCB assembly, prototyping, testing, and component sourcing, enabling them to concentrate on innovation and core research and development.
Telecom Electronic Manufacturing Services Market- Geographical Insights
The Asia Pacific region leads in market growth, attributed to the significant adoption of advanced telecommunications infrastructure and 5G networks. This area hosts major manufacturing centers and EMS leaders, benefiting from strong government support, resilient supply chains, and increasing investments in telecommunications and electronics production. In 2023, China's telecommunications sector experienced steady growth, fueled by emerging enterprises. The total business revenue of companies within this industry reached 1.68 trillion yuan (approximately 236 billion U.S. dollars) last year, marking a year-on-year increase of 6.2 percent, as reported by the Ministry of Industry and Information Technology. Europe ranks as the second-largest region for market growth, driven by the rapid expansion of 5G networks.
The Telecom Electronic Manufacturing Services (EMS) market exhibits a moderate to high level of competition, with prominent players competing for market share by leveraging technological advancements, cost-efficient manufacturing processes, vertical integration, and forming strategic alliances with leading telecom equipment manufacturers and network operators. These companies are making substantial investments in their manufacturing capabilities to facilitate the deployment of 5G base stations, fiber optic transceivers, and network edge devices. Additionally, firms are expanding their operations across the Asia Pacific, North America, and Europe to satisfy the demand arising from regional telecom infrastructure initiatives.
Benchmark Electronics, a provider of engineering, design, and manufacturing services based in the United States, has inaugurated its new manufacturing facility located in Guadalajara, Mexico. This new site, which covers an area of over 29,800 square meters, enhances Benchmark's production capabilities in the region by nearly 50%.
Plexus Corp. is a firm engaged in Electronic Manufacturing Services (EMS), particularly within the telecommunications industry. Recent reports emphasize their commitment to sustainability, showcasing notable waste reduction accomplishments at their European facilities and the expansion of their sustainable service offerings.