5G Chipset Market Is Estimated To Witness High Growth Owing To Rapid Adoption Of Next Generation 5G Wireless Networks
- Ronak Shah
- U.S.A
- January 17, 2025

The 5G chipset market is estimated to be valued at US$ 32.5 Bn in 2024 and is expected to exhibit a CAGR of 19% over the forecast period 2024- 2031, as highlighted in a new report published by Coherent Market Insights’ The rapid adoption of next generation 5G wireless networks across the globe is estimated to be the major driver for the growth of the 5G chipset market during the forecast period. 5G networks provide high speed data transfer along with low latency which is fueling their deployment by telecom operators. For instance, according to GSMA, 5G networks are estimated to cover around 1.2 billion connections globally by the end of 2024, representing around 15% of total mobile connections. Furthermore, growing demand for high bandwidth applications such as virtual reality, augmented reality, autonomous driving etc. is also supporting the growth of 5G chipsets market.
Key Market Trends: The growing demand for 5G chipsets from telecom infrastructure manufacturers as well as smartphone OEMs is one of the key trends estimated to drive the growth of the market. For example, telecom infrastructure providers such as Nokia, Ericsson, and Huawei are partnering with 5G chipset manufacturers to integrate their 5G radios and hardware into telecom equipment. On the other hand, smartphone manufacturers such as Apple, Samsung, Xiaomi, and OnePlus are integrating 5G chipsets into their premium smartphones to capitalize on the growing demand for 5G enabled smartphones. Furthermore, the integration of 5G chipsets into other IoT devices is also estimated to create new opportunities for 5G chipset market over the forecast period. For instance, 5G enabled tablets, laptops, connected vehicles, and other IoT devices are expected to require 5G chipsets for high speed connectivity.
5G Chipset Market Opportunity: The 5G chipset market by chipset type is segmented into application-specific integrated circuits (ASIC), radio frequency integrated circuits (RFIC), millimeter wave technology chips, and field programmable gate array (FPGA). In 2019, the ASIC segment accounted for the largest share of more than 35% in the global 5G chipset market. ASICs are customized for a specific application, function, or use and widely adopted in 5G small cell infrastructure and 5G consumer premises equipment. Owing to the benefits offered such as compact size, low power consumption, and high performance, the adoption of ASICs is growing rapidly in the 5G chipset market.
Sub-6 GHz segment dominated the market and accounted for the largest share of around 65% in 2019. The sub-6 GHz or Mid-Band spectrum allows 5G services to be delivered over longer distances and thicker walls as compared to mmWave. Thus, the sub-6 GHz spectrum enables a more cost-effective rollout of 5G networks compared to mmWave. However, mmWave technology is expected to gain widespread adoption during the forecast period due to benefits such as high speeds, large bandwidth, and low latency.
Key Market Takeaways: The global 5G chipset market size was valued at USD 32.5 billion in 2024 and is anticipated to witness a CAGR of 19% during the forecast period 2024-2031. Factors such as rising demand for high-speed internet, growing adoption of IoT devices, and increasing deployment of 5G infrastructure globally are fueling the market growth.
Based on chipset type, the ASIC segment is expected to hold a dominant position owing to benefits such as compact size, low power consumption, and high performance. In terms of operational frequency, the sub-6 GHz segment dominated the market in 2019 due to advantages like cost-effective rollout of 5G networks.
Regionally, North America is expected to hold a dominant position over the forecast period owing to significant government and corporate investments in 5G infrastructure development.
Competitor Insights: Some of the leading players operating in the 5G chipset market include Qualcomm Technologies, Inc., Intel Corporation, Huawei Technologies Co., Ltd., Samsung Electronics Co., Ltd., Mediatek Inc., Xilinx Inc., Nokia Corporation, Verizon Communications, and Analog Devices, Inc. These players are focusing on new product launches and partnerships to gain a competitive advantage in the market.
Recent Developments: MediaTek rolled out its MT8670 5G SoC purpose-built for in-car infotainment. Powered by an integrated 5G modem, the SoC delivers multi-Gigabit speeds for seamless access to cloud services on the move. Similarly, Intel showcased 5G modules and antennas customized for vehicular telematics and video telematics gateways. As 5G-assisted driving becomes a reality, automotive 5G chipset revenues are projected to grow at an impressive pace through 2024 and beyond. More information in full report.