Dublin, Nov. 14, 2024 (GLOBE NEWSWIRE) -- The "Saudi Arabia 5G Technology Market by Region, Competition, Forecast and Opportunities, 2019-2029F" report has been added to ResearchAndMarkets.com's offering.
The Saudi Arabia 5G Technology Market was valued at USD 2.1 Billion in 2023, and is expected to reach USD 13.41 Billion by 2029, rising at a CAGR of 36%
The Saudi Arabia 5G Technology Market is experiencing robust growth driven by the country's ambitious Vision 2030 plan, which emphasizes the development of advanced digital infrastructure and smart city initiatives. The government's strategic investments in 5G technology aim to enhance connectivity, support emerging applications such as the Internet of Things (IoT), and improve overall network efficiency. Key drivers include the increasing demand for high-speed internet and the expansion of mobile broadband services. 
The market is characterized by significant advancements in network infrastructure, including the rollout of 5G base stations and the upgrade of existing network systems. Major telecommunications companies in Saudi Arabia are actively deploying 5G networks to meet the rising needs of both consumers and enterprises. The adoption of 5G technology is anticipated to boost economic growth, foster innovation in various sectors, and drive the development of smart cities and autonomous systems. As a result, Saudi Arabia is positioning itself as a leader in 5G technology within the region, setting a benchmark for digital transformation in the Middle East.
Accelerated Deployment of 5G Infrastructure
In Saudi Arabia, the deployment of 5G infrastructure is rapidly accelerating as the country aims to lead in technological advancements within the region. The Saudi government's Vision 2030 initiative, which emphasizes digital transformation and technological innovation, plays a pivotal role in driving this trend. Telecom operators are investing heavily in the rollout of 5G networks to enhance connectivity, support emerging technologies, and meet the increasing demand for high-speed internet services.
Major urban centers like Riyadh and Jeddah are witnessing the deployment of 5G base stations and antennas, contributing to broader network coverage and improved service quality. Additionally, collaborations between telecom companies and technology providers are facilitating the rapid expansion of 5G infrastructure. This trend reflects the commitment to establishing Saudi Arabia as a regional hub for advanced digital services and smart technologies.
Growth in IoT and Smart City Applications
The expansion of 5G technology in Saudi Arabia is driving significant growth in Internet of Things (IoT) applications and smart city initiatives. 5G's low latency and high bandwidth capabilities are essential for enabling real-time data processing and communication between IoT devices. In line with Vision 2030, Saudi Arabia is investing in smart city projects to enhance urban living through advanced technologies.
These projects include smart traffic management systems, connected infrastructure, and intelligent public services. The deployment of 5G networks supports these applications by providing the necessary connectivity and data transmission speeds. As a result, there is an increasing adoption of IoT solutions across various sectors, including transportation, healthcare, and utilities, driving innovation and efficiency in urban management.
Expansion of 5G-Enabled Industry Solutions
Saudi Arabia's 5G technology market is seeing a rise in the development and deployment of 5G-enabled industry solutions. Industries such as manufacturing, logistics, and healthcare are leveraging 5G's capabilities to enhance operational efficiency and drive digital transformation. For instance, 5G's high-speed connectivity supports advanced manufacturing techniques like remote control of machinery and real-time data analytics. In logistics, 5G enables enhanced tracking and management of shipments through IoT devices. The healthcare sector benefits from telemedicine and remote diagnostics supported by 5G's low latency and high reliability. This trend is driven by the need for industries to stay competitive and adapt to new technological advancements. As a result, there is a growing market for 5G-powered solutions that offer industry-specific applications and services.
Increased Investment in 5G Research and Development
Investment in research and development (R&D) for 5G technology is gaining momentum in Saudi Arabia, reflecting a strategic focus on innovation and technological leadership. Both public and private sectors are channeling resources into R&D to explore new applications, optimize network performance, and develop advanced 5G technologies.
Research institutions and technology companies are collaborating on projects to address challenges related to 5G implementation, such as spectrum management, network security, and system integration. The government's support for technological innovation, coupled with investments from telecom operators and tech firms, is fostering a robust R&D ecosystem. This trend highlights Saudi Arabia's commitment to not only deploying 5G technology but also advancing it through continuous research and innovation to maintain a competitive edge in the global technology landscape.
Segmental Insights
Component Insights
The hardware segment dominated the Saudi Arabia 5G Technology Market and is expected to maintain its leadership throughout the forecast period. The hardware segment encompasses a wide range of critical infrastructure components, including base stations, antennas, and network equipment, essential for the deployment and expansion of 5G networks. As Saudi Arabia accelerates its 5G rollout in alignment with the Vision 2030 initiative, significant investments are being made in hardware to build and upgrade network infrastructure. This includes the installation of 5G base stations and antennas in key urban and rural areas to ensure comprehensive network coverage and high-speed connectivity.
The substantial capital expenditure required for purchasing and installing advanced hardware, combined with the need for robust infrastructure to support the growing demand for 5G services, reinforces the segment's dominant position. Additionally, the ongoing upgrades and maintenance of existing hardware to enhance network performance and support new technologies further contribute to the segment's prominence. While software and services are also crucial for the overall 5G ecosystem, the hardware segment's foundational role in establishing and expanding 5G networks positions it as the leading contributor to the market. As the demand for 5G connectivity continues to grow and new applications and services emerge, the emphasis on upgrading and expanding hardware infrastructure will likely persist, sustaining its dominance in the Saudi Arabian 5G technology landscape.
Spectrum Insights
The 5G NR Sub-6GHz spectrum segment dominated the Saudi Arabia 5G Technology Market and is expected to sustain its leadership throughout the forecast period. This spectrum is pivotal for providing widespread 5G coverage and delivering significant improvements in network performance and capacity. The 5G NR Sub-6GHz spectrum, which operates at frequencies below 6 GHz, offers a balanced trade-off between coverage, capacity, and speed, making it ideal for broad deployment across urban and suburban areas. In Saudi Arabia, this spectrum's ability to offer substantial coverage and more consistent connectivity has made it the preferred choice for telecom operators as they expand their 5G networks.
The lower frequency bands of the Sub-6GHz spectrum facilitate better penetration through buildings and other obstacles, which is crucial for ensuring reliable service in densely populated and geographically varied regions. This has been particularly advantageous in Saudi Arabia's large and diverse urban areas, where consistent connectivity is essential for supporting both consumer applications and emerging technologies.
While the 5G NR mmWave spectrum offers higher speeds and greater bandwidth, its limited range and higher susceptibility to physical obstructions have made it less prevalent in the initial stages of 5G deployment. Consequently, the Sub-6GHz spectrum's practical benefits in terms of coverage and reliability continue to drive its dominance in the Saudi market. As the rollout of 5G infrastructure progresses, the focus on 5G NR Sub-6GHz is likely to remain strong, aligning with the country's strategic goals for comprehensive 5G network expansion and supporting a wide array of applications and services.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 86 |
| Forecast Period | 2023 - 2029 |
| Estimated Market Value (USD) in 2023 | $2.1 Billion |
| Forecasted Market Value (USD) by 2029 | $13.41 Billion |
| Compound Annual Growth Rate | 36.0% |
| Regions Covered | Saudi Arabia |
Report Scope:
Company Profiles: Detailed analysis of the major companies present in the Saudi Arabia 5G Technology Market.
- IBM Corporation
- Fujitsu Limited
- Nokia Corporation
- Huawei Technologies Co., Ltd.
- Intel Corporation
- Cisco Systems, Inc.
- ZTE Corporation
- Qualcomm Technologies Inc
- Samsung Electronics Co., Ltd.
- MediaTek Inc.
Saudi Arabia 5G Technology Market, By Component:
- Hardware
- Services
- Software
Saudi Arabia 5G Technology Market, By Technology:
- Enhanced Mobile Broadband [eMBB]
- Ultra-Reliable Low Latency Communication [URLLC]
- Massive Machine Type Communication [mMTC]
Saudi Arabia 5G Technology Market, By Application:
- Consumer
- Enterprises
Saudi Arabia 5G Technology Market, By Spectrum:
- 5G NR Sub-6GHz
- 5G NR mmWave
Saudi Arabia 5G Technology Market, By Region:
- Riyadh
- Makkah
- Madinah
- Jeddah
- Tabuk
- Eastern Province
- Rest of Saudi Arabia
For more information about this report visit https://www.researchandmarkets.com/r/qpus18
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