Global 6G market has grown $7.32 billion in 2024

The global 6G market has grown exponentially in recent years. It will grow from $5.65 billion in 2023 to $7.32 billion in 2024 at a compound annual growth rate (CAGR) of 29.6%, according to Research and Markets.

The market is expected to see exponential growth in the next few years. It will grow to $20.46 billion in 2028 at a compound annual growth rate (CAGR) of 29.3%. The expansion anticipated in the forecast period can be credited to sustainable and green communication, spectrum innovation, concerns about security and privacy, global standardization efforts, and industry-specific requirements. Major trends in the forecast period encompass the integration of emerging technologies, international collaboration, global digital transformation, technological advancements, and terahertz (THz) communication.

The expected surge in internet connectivity is poised to be a driving force for the 6G market. Notably, in February 2021, DataReportal reported that in 2022, 92% of the entire US population had internet access, witnessing a growth of 8.4 million users (2.8%) between 2021 and 2022. Thus, the upward trend in internet connectivity is a key driver for the 6G market.

The 6G market is set to receive a significant boost from the increasing adoption of Internet of Things (IoT) devices. The anticipated higher data rates of 6G will facilitate faster transmission for IoT devices, benefiting applications with demanding data throughput requirements, such as augmented reality (AR), virtual reality (VR), and high-resolution video streaming. According to a November 2022 report by Ericsson, broadband IoT (4G/5G) achieved 1.3 billion connections in 2022, with an expected surge to nearly 60% of all cellular IoT connections by the end of 2028. This underscores the crucial role of IoT device adoption in propelling the growth of the 6G market.

Despite the growth potential, the 6G market faces challenges due to skill gaps. A report by the Computing Technology Industry Association (CompTIA) in October 2022 highlighted that, while technology teams gained 84,000 net new workers in September, around 302,400 technology job postings indicated potential prolonged hiring challenges. Thus, skill gaps emerge as a significant factor hindering the growth of the 6G market.

Major players in the 6G market are strategically focusing on adopting advanced technology products, utilizing software such as electronic design automation (EDA) software to anticipate 6G wireless communications development requirements. The electronic design automation (EDA) software suite facilitates automated design and verification of electronic circuits and systems. For example, in June 2023, Keysight Technologies Inc. launched PathWave ADS 2024, an EDA software suite addressing challenges in mmWave frequency bands for chip designers, enhancing simulation with faster 3D electromagnetic analysis, streamlined workflows for RF components, and improved electrothermal simulation for microwave power amplifiers.

In October 2023, Emerson, a US-based electric motor and fan manufacturer, completed the acquisition of National Instruments Corporation for $8.2 billion. This strategic move aims to strengthen Emerson’s global automation leadership, expand its addressable markets, and capitalize on key secular trends in the industry. National Instruments Corporation, a provider of software-connected automated test and measurement systems, is involved in 6G technology research and development, further solidifying Emerson’s position in the evolving landscape of 6G technology. Research and Markets