US - Telecom Market by End-user, Type and Application - Forecast and Analysis 2023-2027

US Telecom Market Size 2023-2027

The US telecom market size is estimated to grow by USD 104.35 billion at a CAGR of 6.5% between 2022 and 2027.

The telecommunications market is experiencing robust growth, driven by surging demand for high-speed internet services, particularly amidst the accelerating trend of digitalization and remote work. With the deployment of 5G networks and advancements in IoT technologies, coupled with the increasing adoption of smart devices, the sector is witnessing an unprecedented expansion. Altice USA Inc., AT&T Inc., and Charter Communications Inc., along with 15 other prominent entities, are key players in this dynamic landscape, as outlined in our comprehensive report. Altice offers telecom services through its brands like Optimum and News 12 networks, while AT&T provides offerings such as Ztelco business fiber and switched ethernet on demand. Charter Communications delivers telecom solutions like Spectrum News, reflecting the sector's commitment to meeting evolving connectivity needs.

Study Period	2023-2027
Base Year For Estimation	2022
CAGR	6.5%
Historic Period	2017 - 2021
Fastest Growing Region	North America at 100%
Largest Segment	End-User

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Market Segmentation

Our segment comprises three primary segments, each with its respective sub-segments for further detailed analysis within specific national markets. 

• End-user Outlook 
  • Consumer
  • Business

• Type Outlook 
  • Wireless
  • Wireline

• Application Outlook 
  • Residential
  • Commercial 

By End-user 

The market share growth by the consumer segment will be significant during the forecast period. The proliferation of smartphones is an important factor in the significant increase in communication services. Additionally, the growing popularity of over-the-top (OTT) applications is driving customers to choose wireless Internet services, which will greatly support the implementation of large-scale communication networks.

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The consumer segment showed a gradual increase in the market share of USD 132.40 billion in 2017. Additionally, the demand for mobile services, such as voice and data services, continues to grow as more people use mobile devices for communication, entertainment, and social media. The introduction of 5G technology is expected to further increase the demand for faster and more reliable mobile services and is expected to have a positive impact on the growth of the US - telecommunication market during the forecast period.

By Type 

The wireless segment accounted for the largest share of the market in 2022. The emergence of cloud computing technology, artificial intelligence (AI), and the Internet of Things (IoT) is believed to contribute to the growth of wireless communication channels globally. Additionally, advances in wireless technology and new features such as 5G connectivity and augmented reality are likely to increase the demand for wireless communications services. As technology advances and people become increasingly dependent on mobile devices for communication and other activities, the demand for wireless communication services is expected to increase. Therefore, with the increasing demand for wireless technology, the US - telecommunication market is expected to grow significantly during the forecast period.

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Market Dynamics and Customer Landscape

The market is witnessing rapid growth driven by the expansion of mobile networks and wireless infrastructure. With a focus on digital transformation, operators are investing heavily in 5G technology, enhancing internet connectivity and broadband services nationwide. Fiber optic networks and satellite communication further bolster internet service provision, catering to diverse consumer needs. Voice over IP (VoIP) and data transmission technologies facilitate seamless communication, while cloud computing and network security solutions ensure efficient data management and protection. The advent of the Internet of Things (IoT) has revolutionized communication networks, integrating mobile devices into various industries. Regulatory frameworks support industry growth, fostering innovation in digital services, satellite communication, and mobile broadband, ultimately optimizing network connectivity and driving technological advancement in the US Telecom sector.

Key Market Driver

Increased demand for broadband serves as the primary driver fueling market growth. As global connectivity intensifies, the need for telecommunications services escalates rapidly. Mobile devices like smartphones and tablets have become ubiquitous, with billions of users worldwide. This surge in mobile device usage has significantly raised the demand for mobile data services, including internet access and messaging.

Moreover, the rising popularity of streaming services such as Netflix and Amazon Prime Video has augmented the volume of data transmitted over broadband networks. Consequently, the heightened demand for internet and broadband services is poised to propel market growth throughout the forecast period.

Significant Market Trends

Technological advancements is the key trend shaping the growth of the market. Advances in technology are impacting the development and consumer experience of the US - telecommunication market. A notable example is the introduction of the 5G network, which delivers faster speeds and lower latency, enabling innovations such as the Internet of Things (IoT) and augmented reality. Another important advancement is the expansion of fiber optic infrastructure, which enhances broadband connectivity for homes and businesses.

Overall, technological advancements are transforming the telecommunications industry by improving connectivity, services, and security, and enabling creative applications and user experiences. Therefore, due to technological advancements, the US telecommunication market is expected to grow significantly during the forecast period.

Major Market Restrain

Regulatory compliance is a significant challenge that affects the growth of the market. Because business is governed by a complex web of federal and state regulations, telecommunications companies must follow many rules, procedures, and standards. For example, the Federal Communications Commission (FCC) regulates spectrum allocation, network neutrality, and universal service obligations, all of which impact how telecommunications companies operate.

Furthermore, to avoid monopolistic behavior, telecommunications companies must follow competition guidelines. Overall, the ever-changing regulatory framework poses an ongoing challenge for telecommunications providers, requiring investment in legal skills and resources to ensure compliance while remaining competitive. As a result, such factors are likely to hinder the growth of the US telecommunications market  during the forecast period

Customer Landscape

The market growth analysis report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the market growth and forecasting report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.

Customer Landscape

Who are the Major US Telecom Market Companies?

Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.

The market research and growth report also includes detailed analyses of the competitive landscape of the market and information about 20 market companies, including:

• Cincinnati Bell Inc.
• Comcast Corp.
• Cox Communications Inc.
• DirecTV
• DISH Network L.L.C.
• Foundever Group
• Frontier Communications Parent Inc.
• Lumen Technologies Inc.
• Motorola Solutions Inc.
• Nokia Corp.
• T Mobile US Inc.
• Telefonaktiebolaget LM Ericsson
• Teleperformance SE
• Telephone and Data Systems Inc.
• Verizon Communications Inc.
• Vodafone Group Plc

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Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.

Market Analyst Overview

The market is witnessing rapid growth driven by various factors. Wireless infrastructure expansion and broadband services are key components, facilitating enhanced internet connectivity and digital transformation. Major operators are investing in network expansion, including fiber optic networks and satellite communication, to meet increasing demand. Internet service providers are prioritizing network optimization and deploying digital services such as Voice Over IP (VoIP) and mobile broadband. With the proliferation of data transmission, network security has become a critical concern. Satellite services also play a significant role in bridging connectivity gaps. As technology evolves, the telecom market continues to adapt, offering innovative solutions to meet the diverse needs of consumers and businesses alike in the ever-changing landscape of digital communication.

The market, driven by Over-The-Top (OTT) channels, offers diverse viewing options with varying pricing strategies. Leading OTT solution providers like Amazon Video, Roku, Hotstar, and HBO compete to deliver video, audio, and media content, prioritizing smartphone display and sound quality. Super-fast Internet Protocol (IP) networks support freemium-based business models, catering to mobile data and high-speed broadband services for corporate and residential applications. From online 4K UHD videos to cloud gaming, the market extends to sectors like healthcare, manufacturing, and energy, leveraging IoT devices. Wireless densification anticipates the 5G wave, while wireline networks, including twisted pair, coaxial, and optical fiber cables, ensure efficient transmission. SMEs and MNCs rely on telecom infrastructure, emphasizing robust wireline segments to meet communication needs amidst ongoing technological advancements.

US Telecom Market Scope
Market Report Coverage	Details
Page number	136
Base year	2022
Historic period	2017-2021
Forecast period	2023-2027
Growth momentum & CAGR	Accelerate at a CAGR of 6.5%
Market growth 2023-2027	USD 104.35 billion
Market structure	Fragmented
YoY growth 2022-2023(%)	6.0
Competitive landscape	Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks
Key companies profiled	Altice USA Inc., AT and T Inc., Charter Communications Inc., Cincinnati Bell Inc., Comcast Corp., Cox Communications Inc., DirecTV, DISH Network L.L.C., Foundever Group, Frontier Communications Parent Inc., Lumen Technologies Inc., Motorola Solutions Inc., Nokia Corp., T Mobile US Inc., Telefonaktiebolaget LM Ericsson, Teleperformance SE, Telephone and Data Systems Inc., Verizon Communications Inc., and Vodafone Group Plc
Market dynamics	Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the forecast period.
Customization purview	If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

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What are the Key Data Covered in this Market Research Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the growth of the market between 2023 and 2027
• Precise estimation of the market  size and its contribution of the market in focus to the parent market
• Accurate predictions about upcoming trends and changes in consumer behaviour
• Growth of the market across US
• Thorough analysis of the market’s competitive landscape and detailed information about companies
• Comprehensive analysis of factors that will challenge the growth of market companies

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