The 5G network emulator market is expected to grow at a CAGR of 14.45% during the forecast period.
GROWING WIRELESS CAPITAL EXPENDITURES BY TOP PROVIDERS UNITED STATES, IN MILLION DOLLARS
The 5G network emulator market is driven by the need to test various network applications across different industries, such as SD-WAN, cloud, and IoT. It also helps in testing 5G devices and base stations and the security and resilience of networks against cyber-attacks. Moreover, it supports testing IoT and connected devices and migrating enterprises to cloud-based infrastructure.
For instance, as per the insights from the "2022 Communications Marketplace Report" by Federal Communications Commission, the capital expenditures in wireless infrastructure by the top providers was USD 29.877 million for 2019, USD 30.5 million dollars for 2020, and USD 33.06 million dollars for 2021. The expenditures on wireless infrastructure by the top providers in the US show a significant increase. This reflects their determination to enhance and extend their 5G networks. This will boost the demand for 5G network emulator solutions to verify the performance, quality, and security of 5G devices and applications before deployment. Hence, the rising expenditures in wireless infrastructure will support the growth of the 5G network emulator market by creating more opportunities for network emulation solution providers, such as Keysight, Polaris Networks, and Spirent Communications.
EMERGING OPPORTUNITIES FOR 5G IN THE NETWORK EMULATOR MARKET:
HARDWARE AND SOFTWARE
The 5G network emulator market is growing due to the need to test network applications, 5G devices, base stations, network security, IoT and connected devices, and cloud migration. Network emulators help validate the performance and functionality of networks and devices under different network conditions and scenarios.
The 5g network emulator market is segmented into hardware and software by component. These segments of the 5G network emulator are witnessing various innovations and collaborations from different players in the industry.
- In May 2023, the European Investment Bank announced that TIM Group got a €360 million loan from the EIB with SACE's partial guarantee to develop its 5G network infrastructure in Italy. The loan will help TIM extend its 5G service across the country by 2025 using the 700 MHz spectrum. This event could benefit the network emulator market, as it could raise the need for testing and assessing 5G network solutions, especially for public 5G networks that provide fast and responsive connectivity for customers and businesses.
- In March 2022, HPE announced partnering with telecom operators to deliver a smooth, near zero-touch operational experience for deploying its dismantled RAN hardware and workloads. The company disclosed that KDDI, a prominent Japanese telecom provider, has implemented the HPE ProLiant DL110 Gen10 Plus - Telco server for its 5G standalone base stations that adhere to O-RAN standards. This could spur the market for 5G network emulators, as O-RAN solutions need more testing and validation of network performance and compatibility.
The global 5G network emulator market comprises some major countries undertaking favorable initiatives. China is expected to witness a high CAGR during the forecasted period. In addition, some major countries include the USA, Japan, South Korea, United Kingdom, and Germany. The nations have taken several steps to boost the 5G infrastructure and complement the overall market growth. For instance,
- In March 2022, in the United States, Keysight Technologies announced that it had enhanced its 5G network emulation solution with new features that support the latest 3GPP Rel-15/16/17 feature to allow the leading chipset and device manufacturers to quickly and reliably develop designs with advanced 5G capabilities for industry, consumer, and government applications.
- In November 2020, in Japan, SoftBank announced its plans to invest $38 billion in fifth-generation wireless networks in Japan over the next ten years. The company will increase its base stations from less than 10,000 to 50,000 by March 2022 as a first step, focusing on providing 5G service in areas with high population density. By around 2025, it aims to have 200,000 base stations, ensuring that all its mobile users nationwide have constant access to 5G.
MAJOR PLAYERS IN THE MARKET:
Some of the leading players in the market include Keysight Technologies, Polaris Networks, and Spirent Communications, among others. The product offerings of the major corporation include the following.
- Keysight Technologies' S8714A UXM 5G RF Application is a software solution for RF testing of 5G NR devices. It works with the E7515B UXM 5G Test Platform, a network emulator that supports 5G NR bands. The software simplifies RF verification with built-in 3GPP test cases, intelligent signaling, and real-time results. It is optimized for speed and efficiency and can help reduce time to market for 5G device testing.
- NetTest 5G Network Emulators are a solution from Polaris Networks that simulates all the components of a 5G network, including 5G devices, 5G base stations, and 5G core network functions. The emulators are based on the 3GPP Release 16 specifications and support normal and negative testing scenarios.
- Spirent Communications' Spirent Attero-100G is a network impairment testing tool that can emulate various network conditions and scenarios that can affect the performance and functionality of 5G fronthaul networks. Spirent Attero-100G supports 25GbE and 10GbE fronthaul interfaces and protocols like eCPRI, PTP, and SyncE. It can also emulate full line-rate delay, packet jitter, packet drop, and other impairments for 5G fronthaul testing.
The 5G network emulator market has been analyzed through the following segments.
- UE & gNB emulator
- Network emulator
- South Korea