Market Overview:
Telecom power systems are critical components of telecommunication networks, providing uninterrupted power supply to various equipment and systems. These systems ensure smooth and reliable operations of telecommunication infrastructure, including base stations, data centers, and switching centers. The increasing demand for reliable and efficient power supply in the telecommunications industry is driving the growth of the telecom power systems market. Deploying these systems eliminates downtime, improves network reliability, and reduces operational costs. With the increasing adoption of 5G technology, the demand for telecom power systems is expected to witness significant growth in the coming years.
Market Key Trends:
The key trend driving the telecom power systems market is the shift towards renewable energy sources. The telecommunication industry is actively moving towards sustainable energy solutions to reduce environmental impact and improve energy efficiency. Integration of renewable energy sources such as solar and wind power with telecom power systems helps reduce reliance on traditional power grids and lowers carbon emissions. This trend is driven by the need to reduce operational costs, comply with stringent environmental regulations, and establish sustainable infrastructure. Telecom power systems manufacturers are increasingly offering hybrid systems that integrate renewable energy solutions, battery storage, and traditional power sources to meet the growing demand for sustainable power supply in the telecommunications sector.
The Telecom Power Systems Market Demand is estimated to be valued at US$ 3,900.0 million in 2023 and is expected to exhibit a CAGR of 7.36% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Segment Analysis
The telecom power systems market can be segmented based on the type of power systems and the end-user industry.
In terms of power systems, the dominating sub-segment in the telecom power systems market is the DC power systems. DC power systems are widely used in the telecommunications industry due to their ability to provide a stable power supply to telecom equipment. They are used to power various telecom infrastructure components such as base stations, small cells, and data centers. DC power systems offer advantages such as high reliability, scalability, and energy efficiency, making them the preferred choice for telecom operators. The increasing deployment of 5G networks and the growing demand for reliable and continuous power supply for telecom infrastructure are driving the demand for DC power systems in the market.
Key Takeaways
The global telecom power systems market is expected to witness high growth, exhibiting a CAGR of 7.36% over the forecast period of 2023-2030. The market size for 2022 is projected to be US$ 3,900.0 million.
In terms of regional analysis, Asia Pacific is the fastest-growing and dominating region in the telecom power systems market. The increasing investments in telecommunication infrastructure and the rapid deployment of 5G networks in countries like China, India, and South Korea are driving the demand for telecom power systems in this region. Moreover, the expanding subscriber base and the rising demand for uninterrupted connectivity are further contributing to the market growth in Asia Pacific.
Key players operating in the telecom power systems market include Schneider Electric SE, Eaton Corporation PLC, ABB Ltd., Huawei Technologies Co. Ltd., EnerSys, Cummins Inc., Delta Electronics Inc., Myers Power Products Inc., Efore, and Vertiv Co. These key players are focusing on strategic partnerships, acquisitions, and product innovations to strengthen their market presence and gain a competitive edge. For example, Schneider Electric acquired L&T's electrical and automation business in 2018 to expand its product portfolio and enhance its market position in the telecom power systems industry.
According to the global telecom power systems market by IMARC Group, the market was worth US$ 3.7 Billion in 2019.
Looking forward, the market is expected to continue its moderate growth during the next five years.Telecom power systems provide a stable electricity supply to telecom towers in case of fluctuations or interruptions in grid power.
The major components of these systems include batteries, rectifiers or inverters, and power system controllers.
Although most telecom systems are powered by grids, they can be integrated with renewable energy sources to reduce the operating costs.
Telecom power systems form an essential part of communication networks as they help in maintaining various services such as fixed-lines and high-speed internet data.Global Telecom Power Systems Market Trends:A rise in the demand for telecom services, particularly in emerging regions such as Asia, the Middle East and Africa, has resulted in the expansion of the global telecom power systems market.
Moreover, the growing number of smartphone users has created a demand for advanced network services, such as 4G and VoLTE.
