Shortages a Sign of Strong Cellular Component Growth Ahead
According to Strategy Analytics, the markets for radio components used in cellular user equipment will continue to grow through 2025 with 5G, as outlined in two reports: The Strategy Analytics RF & Wireless Components report “ Cellular UE Radio Component Forecast 2021 – 2025: A Bright Future Post-COVID with 5G” details the expected growth by air interface and type of radio component by year, while the Strategy Analytics Handset Component Technologies report “ Semiconductor Shortages Threaten Component and Smartphone Markets” looks at how companies can minimize shortages now underway and meet skyrocketing demand.
Christopher Taylor, Director of RF & Wireless Components and author of the Cellular UE Radio Component Forecast report, stated “The latest radio architectures, historical component price and demand trends suggest that millimeter wave (mmW) modules and intermediate frequency transceivers for the mmW will undergo the highest growth rates through 2025, followed by diversity receive and related switched-filter modules, RF switches and antenna tuners. The rapid uptake of 5G will of course drive much of this growth.”
Sravan Kundojjala, Associate Director, Handset Component Technologies, added that “Earlier than anticipated recovery in demand after the onset of COVID-19, the recent earthquake near Fukushima Japan, severe weather-related electric supply shortages in the US, and the US trade war with China have all contributed to an inability to meet demand as reported by almost all leading semiconductor companies. The shortages point to a strong year for shipments and sales of cellular components in 2021 over 2020, but mobile phone OEMs and component suppliers face supply constraints that could keep them from reaching their full upside growth potential this year unless they take aggressive action.”
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