Albany, NY -- (SBWIRE) -- 04/17/2017 -- The key driver for the global small cell power amplifier market at the moment is the growing rate of data traffic occurring indoors. Small cells can improve bandwidth capacity of networks and are therefore found to be extremely helpful in indoor network enhancement.
The global small cell power amplifier market is also being augmented by the increasing complications of urban data canyons as well as the overall lower cost of operations for small cell base stations, as compared to macrocell stations.
However, the global small cell power amplifier market is being restricted by the growth of macrocell usage, the issues faced by service providers for acquiring approvals of installation from municipalities, and the massive backhaul generated in a telecom network.
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The global small cell power amplifier market was valued at US$1.20 bn in 2015. After expanding at a CAGR of 22.0% from 2016 to 2024, this market's revenue is expected to reach US$69.81 bn in 2024.
Asia Pacific is currently leading the global small cell power amplifier market in terms of growth rate. Japan, China, and India are the leading nations that are contributing to the growing demand for small cell stations on a national level.
China and Japan especially are showing a massive demand for femtocells – small cells that have a 10 – 100 mW output power and extremely useful for indoor network enhancement purposes. This indoor application includes houses and small offices. However, a lot of the Asian economies – including Japan – are trying to expand their use of small cells in open access public areas as well. This further augments the demand for small cell power amplifiers in this region.
North America held the leading market share in the global small cell power amplifier market for 2015 – an overall share in value of above 30%. North America is moving towards a largely heterogeneous network solution – Hetnet USA – which is considered to be the solution to the carry up the intense growth rate in data volumes by fulfilling the desired objectives of improved network quality and larger area of coverage. This creates a successful transition from macrocell-dominated networks to self-organizing networks, or SONs, and therefore improves the overall demand for small cell power amplifiers in North America.
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The global small cell power amplifier market can be segmented on the basis of end users, into small cell base stations, datacards with terminals, customer premise equipment, power amplifier drivers, and wideband instrumentation.
Of these, the market was dominated by small cell base stations in 2015. This segment is also considered to be the leading one in terms of rate of growth. Small cell base stations make an inseparable use of small cell power amplifiers to improve the signal strength.
This allows for a much smoother rate of transmission of data, which is thus expected to increase the demand for small cell power amplifiers over the coming years. Wideband instrumentation holds the second position in terms of demand volume within the global small cell power amplifier market. Wideband instrumentation uses small cell power amplifiers for bootstrapping networks and guarding circuits, features which add value and are even a necessity in several areas in the telecom industry.