Top telecom equipment companies
Telecommunication equipment is any hardware used for telecommunication purposes. It includes a wide range of communication technologies – from transmission lines and communication satellites to radios and answering machines. telecommunications equipment supplier
Examples of telecommunications equipment include switches, telecom towers, fiber-optic cables, routers, voice-over internet protocol (VoIP), and smartphones.
Due to the increasing popularity of the Internet and the growing demand for data transfer infrastructure, the telecommunication equipment sector and the IT equipment sector have started to overlap more and more in the last few years. In 2020, IT spending worldwide was forecast to reach 3.46 trillion U.S. dollars, a decline of eight percent due to the negative economic impact brought about by the coronavirus (COVID-19) pandemic. Concerning telecommunications services, spending here is expected to reach 1.3 trillion U.S. dollars in 2020. Huawei, Cisco Systems, Fujitsu, NEC Corporation, Nokia, Ericsson and Qualcomm are the leading telecom equipment companies worldwide. Cisco Systems is the leading Ethernet switch vendor, with more than 50 percent of the market share. Ethernet switches are an important and profitable part of the industry, as they are an integral part of IT infrastructure. They are used to receive, process, and transmit data between two devices connected by a physical layer. Together, the top vendors of Ethernet switches generated more than 28 billion U.S. dollars in revenue in 2019. Cisco is also the main vendor of enterprise WLAN, accounting for close to 45 percent of the global market share. HPE/Aruba, Ubiquiti, and Huawei are also important vendors of enterprise WLAN worldwide.
While telecommunications equipment is often associated with infrastructure and operators, it also extends to the consumer side of the market in the form of smartphones and other private equipment such as modems. Smartphone shipments worldwide are projected to add up to around 1.48 billion units in 2023. Samsung is the global mobile market leader since 2012, with Apple and Huawei as the closest competitors in the market. Within the device itself, a mobile application processor, also known as a system on a chip (SoC), is hardware designed to support the applications running in a mobile operating system environment. In smartphones, Qualcomm is a leader, accounting for around 40 percent of the global smartphone AP market.
Gartner said that telecom equipment now includes mobile devices, PBX equipment (contact center, telephony and IP telephony), and network equipment (LAN and WAN).
Enterprise networking and communications — Enterprise networking and communications includes telecom equipment and systems that are based in consumer and business locations and that connect either with the PSTN or to private data or voice networks.
Research firm Dell’Oro Group has revealed the market share of top telecom equipment makers in the first half of 2020
The worldwide telecom equipment market increased 4 percent in the first half of 2020, the report said. Telecom equipment market revenue dipped 4 percent in the first quarter of 2020.
Huawei, Nokia, Ericsson, ZTE, Cisco, Ciena, and Samsung ranked as the top seven telecom equipment suppliers, indicating that revenue rankings remained stable between 2019 and H1 2020.
Revenue shares of telecom equipment makers changed slightly as the Chinese suppliers benefitted from large scale 5G rollouts in China.
Huawei has increased its share in the global telecom network market to 31 percent from 28 percent; Nokia’s telecom network market fell to 14 percent from 16 percent; Telecom network market share of Ericsson was stable at 14 percent; ZTE has also increased its telecom network market share to 11 percent as compared with 9 percent in 2019; Cisco’s telecom network market share dropped to 6 percent from 7 percent.
Dell’Oro Group covers Broadband Access, Microwave & Optical Transport, Mobile Core & Radio Access Network, SP Router & Carrier Ethernet Switch (CES) in its telecom equipment market report.
Telecom equipment market share in H1 2020 vs 2019 telecommunications equipment supplier
Huawei 31 percent (28 percent)
Nokia 14 percent (16 percent)
Ericsson 14 percent (14 percent)
ZTE 11 percent (9 percent)
Cisco 6 percent (7 percent)
The report said telecom equipment market’s growth drivers include mobile infrastructure, optical transport and SP routers and CES. Weaker demand was observed in broadband access and microwave transport business.
Dell’Oro said the overall telecom equipment market is set to advance 5 percent in 2020 despite Covid-19 related challenges. telecommunications equipment supplier