The Global Telecom Power
System Market was valued at US$ 4.9 Bn in 2023 and is projected to
grow at a CAGR of 4.5% from 2024 to 2034, reaching US$ 8.0 Bn by
the end of the forecast period. This expansion is primarily driven by the
increase in mobile subscribers and the continuous expansion of telecom
infrastructure, particularly in rural and remote areas. The market is also
seeing a growing demand for energy-efficient and eco-friendly power solutions,
especially with the advent of 5G technology.
Increasing Mobile Subscribers Propelling Market Growth
One of the key drivers for the telecom power system market
is the rising number of mobile subscribers worldwide. As mobile devices become
an integral part of everyday life and industrial processes, the demand for
reliable telecom power infrastructure is increasing. Countries like India,
Indonesia, the U.S., and Brazil are leading the way in terms of mobile
subscriber numbers, and the trend is expected to continue with the global
population growth.
With the world population projected to reach 9.8 billion
by 2050, the demand for connectivity will only increase. Alongside mobile
users, IoT (Internet of Things) devices are also on the rise. By 2022,
connected devices surpassed the number of connected humans, transforming
sectors such as automotive, healthcare, and consumer electronics. This surge in
connected devices is creating significant opportunities for telecom power
system providers to innovate and meet rising demands.
Role of 5G Technology in Shaping the Market
The deployment of 5G technology is set to
revolutionize telecommunications by offering faster, more reliable connections.
However, 5G requires higher power density and a reliable power supply, which is
increasing the demand for advanced telecom power systems. Vendors are now
focusing on developing energy-efficient and eco-friendly power solutions
to address the high power requirements of 5G networks.
Telecommunications energy management will play a crucial
role in supporting the vast network of mobile and IoT devices connected via 4G
and 5G. Energy-efficient solutions such as AC-DC and DC-DC power
supply units (PSUs), battery management systems (BMS), and uninterruptible
power supplies (UPS) are already gaining traction in the market, offering
reliable power even during grid interruptions.
Telecom Infrastructure Expansion in Rural Areas
The expansion of telecom infrastructure in rural and remote
areas is another key factor driving market growth. Public and private
investments are being directed toward extending mobile network coverage to
underserved regions. Renewable energy is playing a significant role in powering
these expansions by creating self-sustaining stations that deliver 4G and 5G
connectivity to rural communities.
For instance, in April 2024, a leading UK telecommunications
company partnered with Starlink, SpaceX's internet satellite
constellation, to accelerate the deployment of the Shared Rural Network
(SRN) initiative. This collaboration aims to bring reliable mobile
connectivity to remote areas faster than traditional infrastructure methods
would allow.
Renewable Energy and Sustainability in Telecom Power
Systems
The increasing global focus on reducing carbon emissions and
combating climate change is pushing the telecom sector toward more sustainable
energy solutions. Telecom power systems powered by renewable energy sources
are gaining popularity due to their potential to reduce carbon footprints.
According to the International Energy Agency (IEA), data centers and data
transmission networks are responsible for 1% of global energy-related greenhouse
gas (GHG) emissions. Transitioning to renewable energy-powered telecom
systems can help reduce these emissions and contribute to the industry's
overall sustainability efforts.
Regional Outlook and Key Players
Asia Pacific holds the largest market share and is
expected to continue dominating the telecom power system market through 2034.
The region's rapid increase in mobile phone users, particularly in China and
India, is driving market growth. Significant investments in digital services
and telecom infrastructure are also contributing to the region's market
expansion.
Key players in the global telecom power system market
include ABB, Alpha Technologies, Huawei Technologies, Eaton,
and Schneider Electric, among others. These companies are focusing on
developing innovative telecom power solutions and expanding their product
portfolios to meet the growing demand.