Wholesale Telecom Market size was over USD 411 Billion in 2023 and is likely to exceed USD 1101.5 Billion by the end of 2036, growing at over 9.6% CAGR during the forecast period i.e., between 2024-2036. In the year 2024, the industry size of wholesale telecom is evaluated at USD 526 Billion.
The market growth is attributed to the globalization of businesses due to which there is a rise of reliable, high-capacity communication services which stimulate the market growth. According to a recent report, in 2020 there were around 7.7 billion active mobile broadband subscriptions worldwide. Moreover, with the interconnectedness of businesses, companies expand their businesses globally which led to a rise in the demand for wholesale telecom carriers. In addition, there is a rise in the demand for data services due to the expansion of digital technologies, and the Internet of Things which stimulate market growth.
Moreover, wholesale telecom carriers such as VoIP solutions, mobile network operators, and data roaming services are significant in meeting the high data demand across the various sectors.
Growth Drivers
Challenges
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Base Year |
2023 |
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Forecast Year |
2024-2036 |
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CAGR |
9.6% |
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Base Year Market Size (2023) |
USD 411 Billion |
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Forecast Year Market Size (2036) |
USD 1101.5 Billion |
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Regional Scope |
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Service Type (Data & Internet Services, Voice & Messaging Services)
Data and internet services segment is set to hold over 56% wholesale telecom market share by the end of 2036. The segment growth can be attributed to the rising demand for data and internet services among users and it also ensures profit of wholesale telecom providers.
Moreover, many users rely on the internet connection for communication to entertainment which is anticipated to boost the segment growth. In addition, the growing popularity of OTT platforms and other video streaming services that depends on high-bandwidth connections leads to stimulating segment growth. According to a recent report, the estimated number of internet users worldwide was 5.4 billion worldwide in 2023.
End-User (Telecom Operators, Internet Service Providers, Content Providers)
By 2036, telecom operators segment is likely to hold more than 51% wholesale telecom market share. The segment growth can be attributed to the factor that the telecom operators play a crucial role in providing various telecom services to their consumers such as voice, data, and roaming. Moreover, telecom providers are significantly investing in better technology which includes 5G network expansion, and fiber optic networks that will create a huge base of clients in the market.
Furthermore, the investment in cutting-edge technology is significant for delivering high-speed and efficient quality connections to consumers which boosts the segment growth.
Our in-depth analysis of the wholesale telecom market includes the following segments:
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Service Type |
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End-User |
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Operator Type |
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North American Market Forecast
North American region in wholesale telecom market is anticipated to hold revenue share of more than 43% by 2036. The regional growth is attributed to the factor that there is a well-advanced telecommunication infrastructure with continuous development going on in the telecom industry. North America region has many wholesale voice carriers that lead to boost the market growth.
The US has a significant role in the wholesale telecom industry due to its advanced network capabilities and large consumer base. The county has a large number of multinational corporations and major technological hubs that further promote international voice communication services. According to a source, of the 2,190 MNCs, 719 are based in the US, representing approximately one-third of all companies.
In Canada, ongoing research and innovation in the telecom sector with a flexible regulatory framework stimulate wholesale telecom market growth of wholesale telecom. As per the source, total annual revenues from the provision of telecommunications services in Canada were USD 57.2 billion in 2022.
APAC Market Analysis
The Asia Pacific region will also encounter huge growth for the wholesale telecom market during the forecast period and will hold the second position. The market’s expansion can be attributed to the huge amount of investments made in 5G network infrastructure and an increasing number of mobile phone users. According to a recent report, in 2022, the smartphone adoption rate across the Asia-Pacific region reached 76 percent, an increase from 64 percent in 2019.
India is witnessing huge demand for international voice services due to rising levels of urbanization and expanding economies. In addition, with the expansion of cloud communication, wholesale voice carriers are providing better voice termination services and interconnectivity. Furthermore, businesses are dependent on cloud-based platforms and this leads to partnerships with cloud-based providers to enhance their service offerings. It provides flexibility to wholesale carriers to increase the user base which boosts the growth of wholesale telecom market
The various key players in the wholesale telecom market are AT&T, Telefonica, Tata Communications, Singtel, and Verizon Communications among others.
Author Credits: Abhishek Verma
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