Thursday, 15 March 2018

Attractive Opportunities in the RF Test Equipment Market

The RF test equipment market is expected to reach USD 3.21 Billion by 2023 from USD 2.32 Billion in 2016, at a CAGR of 4.92% between 2017 and 2023. The major factors driving the growth of the RF test equipment market include the growing adoption of wireless networking in in-building communication systems, rising focus on developing 5G network-based devices, and increasing deployment of IoT technology-based devices for various applications such as telecommunications, automotive, aerospace & defense, and consumer electronics.

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Oscilloscopes held the largest market share in 2016. For the installation of technologies, robust infrastructure and supporting technologies are required. Parameters such as transmission power and modulating frequency are crucial for error-free working. To ensure the quality of the signal in real-time, an oscilloscope is a key equipment. Moreover, the adoption rate of PXI oscilloscopes is quite high for any test and measurement system due to their ability to acquire and analyze both time- and frequency-domain analog signals and to provide higher accuracy, bandwidth, and signal flexibility compared to traditional benchtop oscilloscopes.

Dominant players in the RF test equipment market include Anritsu (Japan), Fortive (US), Keysight (US), National Instruments (US), Rohde & Schwarz (Germany), Teradyne (US), Yokogawa (Japan), Teledyne Technologies (US), Cobham (UK), EXFO (US), Giga-tronics (US), Chroma (Taiwan), Good Will Instruments (Taiwan), and B&K Precision (US).

Modular RF test equipment to grow at the highest rate during the forecast period

The market for modular RF test equipment is estimated to register the highest CAGR during the forecast period. This is attributed to its characteristics such as the ability to manage and analyze large datasets in real time and high-precision performance. Also, modular instruments have the ability to manage and analyze large datasets in real time. The introduction of the PXI (PCI extensions for instrumentation) standard as an extension of Compact PCI by National Instruments (US) helped OEMs to provide cost-efficient equipment and well-performing modular system components, which are among the prime reasons for its faster growth.

RF test equipment with a frequency range of 1 GHz to 6 GHz hold the largest share during the forecast period

Many RF equipment conform to the IEEE802.11b/g/n wireless standards, using 2.4 GHz frequency. Owing to the rising demand for seamless connectivity with higher data rate, Wi-Fi technology-based RF equipment, which conform the IEEE802.11a  wireless standards, with a frequency range of 5 GHz to 6 GHz are in high demand. Hence, RF test equipment with a frequency range of 1 GHz to 6 GHz are used for most industrial IoT-related applications. These factors drive the growth of the market for RF test equipment with a frequency range of 1 GHz to 6 GHz.

RF test equipment in APAC to grow at the highest rate during the forecast period

APAC is expected to be the fastest-growing market for RF test equipment during 2017–2023. A number of OEMs as well as semiconductor device and product manufacturers are situated in APAC. The growing demand for RF test equipment is attributed to the increasing number of smartphones and continuous advancements in next-generation telecommunication standards, such as LTE, 4G, and upcoming projects on 5G. Moreover, favorable regulatory policies for the approval of new semiconductor technologies and the saturation of the market in developed countries are the factors that intensify the interest of foreign players in Asia Pacific.

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