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Global Expansion of 5G Base Stations: Understanding the Causes

Expanding rollout of 5G infrastructure fuels augmented interest in 5G base stations. Gain insights into this trend here.

Expansion of 5G Base Stations Globally: Understanding the Motivations Behind It
Expansion of 5G Base Stations Globally: Understanding the Motivations Behind It

Global Expansion of 5G Base Stations: Understanding the Causes

China registered the deployment of around 690,000 5G base stations by the end of 2020, with Chinese telecom carriers forecast to build around 1 million new 5G base stations in 2021. This places China in the second position in the deployment of 5G networks, having deployed it in around 57 countries in 2020.

As of mid-2025, 5G base station deployment is rapidly expanding worldwide, with several countries leading the race in network coverage and infrastructure density. In this global race, the United States, Japan, Germany, China, Russia, Vietnam, and India are among the current leaders.

United States

With over 200,000 5G cell sites deployed nationally, the United States boasts an extensive infrastructure that provides urban and rural coverage. The country has a strong emphasis on Internet of Things (IoT) and autonomous technology.

Japan

Japan, which launched its 5G mobile service in 2020, has over 150,000 5G base stations as of 2023. The country supports smart cities, robotics, artificial intelligence, gaming, and telecom innovation.

Russia

Russia plans to deploy 150,000+ base stations within the next decade, signifying significant future growth. The country views 5G as a critical economic driver.

Germany

Germany aims for 99% 5G population coverage by 2025. The government provides strong support for this initiative, particularly in factory automation and private networks.

Vietnam

Vietnam targets having ~68,000 base stations (~57.5% of 4G stations) by the end of 2025, with plans for 90% population coverage and 99% by 2030. Financial incentives for large deployments aim to facilitate the country's digital transformation and economic growth.

China

China leads growth in private 5G networks, with a high demand from the manufacturing and logistics sectors. The country focuses on smart manufacturing, network slicing, and large-scale industrial use.

India

India is planning to introduce 5G services in the country, with Jio announcing plans to launch a 5G network by late 2021. The demand for 5G rollout is expected to offer favorable opportunities as the number of internet users continues to rise. The healthcare sector, e-healthcare, smart cities, and smart homes will benefit the market players in the future.

By 2025, China will have more than a quarter of all cellular devices connected to 5G networks, accounting for one-third of all global 5G connections. Europe and North America are forecast to lead in the global 5G base station industry, mainly due to the well-established networking infrastructure in the regions.

Prominent companies like Airspan Network, Cisco, Huawei Technologies Co. Ltd., Intel Corporation., Marvell, NEC Corporation, Nokia, Qualcomm Incorporated, and Samsung. Ltd. will witness ample opportunities as the requirement for a high-speed network is increasing. The global 5G base station market is forecast to grow at a compound annual growth rate (CAGR) of 60% during the forecast period from 2021 to 2027.

The evolution of the Internet of Things (IoT) and the technical barriers due to critical communication services will benefit the global 5G base station industry. The growing trend of interconnected and wearable devices is forecast to offer potential scope to the market players in the industry. A 5G base station is built to develop a central connecting point for wireless IoT devices, offering enhanced broadband for devices and benefiting companies in various sectors such as agriculture, healthcare, and automotive.

The COVID-19 pandemic has increased the importance of the internet for the majority of the global population. Statista estimates that around 4.66 billion active internet users were registered in January 2021 worldwide, accounting for 59.5% of the global population. Providers of 5G base stations are expected to witness notable growth due to the increasing demand for efficient networks and speedy connectivity.

References:

  1. https://www.statista.com/topics/1178/5g-mobile-communications/
  2. https://www.statista.com/topics/1186/private-5g-networks/
  3. https://www.statista.com/statistics/1141629/5g-base-station-deployment-in-vietnam/
  4. https://www.statista.com/statistics/1134953/vietnam-spectrum-allocation-for-5g/

Data-and-cloud-computing demand is predicted to increase significantly with the expansion of 5G networks, as the global 5G base station market is forecast to grow at a compound annual growth rate (CAGR) of 60% during the forecast period from 2021 to 2027. This growth is driven by the evolution of the Internet of Things (IoT) and the need for efficient networks and speedy connectivity, making technology and finance sectors key players in this growth.

For instance, Europe and North America are projected to lead in the global 5G base station industry, mainly due to the well-established networking infrastructure in the regions. Notably, the finance sector in China is expected to benefit from the advancements in 5G technology, as China leads growth in private 5G networks, with a high demand from the manufacturing and logistics sectors.

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