Land mobile radio (LMR) system is a communication system that uses radio waves as a medium to conduct communications. It is also called public land mobile radio and is designed for use among terrestrial users on foot or in vehicles. These systems are used in public works organizations, first responder organizations such as police departments, emergency medical service providers, fire departments, and others. LMR systems are linked to other fixed communication systems including cellular networks or public switched telephone network (PSTN) for achieving better geographical coverage.
The global land mobile radio (LMR) systems market is estimated to account for US$ 145.6 Bn in terms of value by the end of 2027.
Market Dynamics- Drivers
Communicating necessary information is crucial to achieving efficient mission-critical operations. Furthermore, potential failure in sharing information among agencies and the first responders can put people and missions into danger. For such situations, LMR systems are necessary that can be widely used in natural disasters, fire, military operations, and terrorist attacks. LMR systems aid in combating and minimizing loss in such disasters by enabling efficient communication among the first responders, public safety agencies, and other entities/agencies involved in the operation. LMR enables them to comprehensively integrate critical information about the mission such as the total area covered, the total population affected and others. This information is collected from various sources such as videos from closed-circuit cameras, blueprints of location, and others. Hence, these factors are expected to drive growth of the global land mobile radio (LMR) systems market during the forecast period.
Project 25 (P25 or APCO-25) refers to a set of standards used in digital radio communications by North American federal, local public safety agencies, and state/province. P25 enables them to communicate with response teams and other agencies in case of emergencies. This system was launched to improve on the old-fashioned two-way voice contact technology, generally over a telephone line, used by first responders and various agencies including police, fire fighting, emergency medical services, and others. Integrated LMR devices provide fast and efficient data operations. Demand for such systems is expected to rise from medium to high during the forecast period, due to expected expansion of Long Term Evolution (LTE) technology. According to a study published on July 14, 2014, by the Global Mobile Suppliers Association (GSA), 941 new LTE-enabled user devices were launched in 2013, registering growth of almost 100% globally. A similar increase was also witnessed for number of device manufacturers, which recorded rise of 68% from 2012 to 2013. Thus, these factors are expected to propel the market growth in the near future.
Europe held dominant position in the global land mobile radio (LMR) systems market in 2019, accounting for 32.7% share in terms of value, followed by North America, APAC, and RoW respectively.
Figure 1: Global Land Mobile Radio (LMR) Systems Market Share (%), in terms of Value, By Region, 2019
Market Dynamics- Restraints
Public safety communication systems are constantly evolving from traditional analog (LMR) systems to digital systems. Analog systems process mainly voice communications; whereas, the benefit of digital systems is the ability to process voice, data, and multimedia communications. Moreover, LMR systems are exposed to risk of infiltration when they are connected to other networks, or when they are provisioned for remote access. These security threats could result in disclosure, destruction, or modification of sensitive information that could adversely impact system operations. Hence, these factors are expected to restrain growth of the market during the forecast period.
Despite its numerous advantages, the global land mobile radio (LMR) systems market faces numerous challenges. Installing the LMR system requires significant capital investment. Besides, it needs to be operated by skilled personnel and technicians. Hence, these factors are expected to hamper the global land mobile radio (LMR) systems market during the forecast period.
|Base Year:||2019||Market Size in 2019:||US$ 24.8 Bn|
|Historical Data for:||2016 to 2019||Forecast Period:||2020 to 2027|
|Forecast Period 2020 to 2027 CAGR:||25.3%||2027 Value Projection:||US$ 145.6 Bn|
JVC KENWOOD Corporation, Tait Ltd., Thales Group S.A., Nokia Networks B.V., Raytheon Company, RELM Wireless Corporation, Cassadian Communications, Inc. (Airbus DS Communications, Inc.), Motorola Solutions Inc., and Harris Corporation.
|Restraints & Challenges:||
Organizations need to equip their employees with the right communication tools for doing their jobs, owing to growing pace and demands of today’s business environment. Growing awareness among corporate users regarding time and cost benefits offered by LMR systems provides growth opportunities for the LMR market. Existing two-way radio users have been using older devices that are approaching the end of life. Now the users are looking for better operability and enhanced functionality in these LMR devices. LMR is integrated into the workplace via smartphones and smart devices. Kenwood Corporation offers integration between LMR and smartphones through its NEXEDGE hand-portable devices, thereby improving communication and enhancing safety at the workplace.
Key companies in the market are focused on research and development activities, in order to enhance the market presence. For instance, in August 2012, Harris Corporation launched BeOn technology that would allow LMR devices to extend its voice capability over 700MHz LTE communication network. Furthermore, in March 2011, JVC Kenwood introduced portable transceiver platforms in three model types, suited for different applications.
Figure 2: Global Land Mobile Radio (LMR) Systems Market Value (US$ Mn), Y-o-Y (%), 2017 - 2027
The global land mobile radio (LMR) systems market was valued at US$ 24.8 Bn in 2019 and is expected to reach a value of US$ 145.6 Bn by 2027 at a CAGR of 25.3% between 2020 and 2027.
Value Chain Analysis
The LMR systems market comprises mobile and vehicular radio devices, transmitter and receiver systems, signal boosters, antenna, filters, duplexers, and others. These devices are provided by entities such as suppliers, OEMs, and distributors. Suppliers provide raw materials such as antennas, transmitters, and others to LMR systems OEMs. These OEMs manufacture LMR systems which are sold to end-users by the distributors. Additionally, these devices can be supplied through an alternate channel called as private system managers, who provide LMR systems to end-users such as government, enterprise, transportation sector and industrial others. Private system managers are basically the service providers for the end-users, they purchase the LMR systems from the OEMs and provides maintenance and replacement services. Private system managers such as GC&E Systems Group, Inc. and others also act as users for LMR systems as they purchase LMR devices in order to provide services to end-users. These services include testing and analyzing of radio malfunctions, programming of new radios, preventive and corrective measures for customer’s tower structure, providing technical assistance, customer service helpdesk duties, and offering formal and informal training to end-users. Selection of LMR devices for end-users is decided on the basis of factors such as area of coverage, number of users, available spectrum, and type of networks such as P25, TETRA, PDT, and others. End-users demand interoperable devices, which can operate on different LMR networks simultaneously. They also require LMR devices with enhanced features such as better voice clarity, video and image data support, and others. These demands lead to suppliers improving their offerings and developing more advanced components, which are incorporated by OEMs, in order to provide enhanced LMR radio devices to end-users. These advanced devices are then used by private system managers to deliver improved services to end-users.
Global Land Mobile Radio (LMR) Systems Market - Impact of Coronavirus (Covid-19) Pandemic
Due to Covid-19 pandemic, many industries witnessed significant shift in their business. There is significant impact on land mobile radio (LMR) systems market, as Chinese industries rapidly closing their business to reduce the spread of COVID-19 pandemic. Further, this trend continued in Europe and North America region, where factories where temporary closed due COVID-19 spread. As companies are facing losses, it is expected that companies will reduce the expenditure on the new product development and technological advancement during the year 2020. COVID-19 pandemic is expected to restrain the market growth during the year 2020.
Key players operating in the global land mobile radio (LMR) systems market are JVC KENWOOD Corporation, Tait Ltd., Thales Group S.A., Nokia Networks B.V., Raytheon Company, RELM Wireless Corporation, Cassadian Communications, Inc. (Airbus DS Communications, Inc.), Motorola Solutions Inc., and Harris Corporation.
Land mobile radio (LMR) system is a communication system that uses radio waves as a medium of communications. It is also called as public land mobile radio and is designed for use among terrestrial users on foot or in vehicles. These systems are used by first responder organizations such as police departments, emergency medical service providers, fire departments, and others. Organizations are shifting towards digital technology owing to several benefits such as enhanced voice quality, data capabilities, better spectral efficiency, and other features including VoIP and video streaming. Integration of LMR systems with LTE technology further offers substantial growth opportunities for the LMR systems market in the near future.
Land mobile radio (LMR) system plays crucial role in the disaster management. It helps staff to communicate over the short (using radio waves) and long distance (using LTE network) to manage disaster effectively. In the recent past, countries such as China, India, Japan, and US witnessed deadliest natural disasters due to which government spending (of these countries) on disaster management is increased. For instance, in 2019, government of India has increased its disaster management spending from US$ 15111.60 million in 2018 to US$ 15111.60 million in 2019, which is more than 5% compared to previous year. Thus, increasing government spending on disaster management is expected to drive the global Land mobile radio (LMR) system during the forecast period. (2020-2027).
Although Land mobile radio (LMR) system offers effective communication among staff which helps to monitor system centrally. However, global land mobile radio (LMR) systems market faces various challenges such as high installation cost, skilled technician to handle the system and others. Such challenges may hamper the growth of global Land mobile radio (LMR) system market during the forecast period.
This report segments the global land mobile radio (LMR) systems market on the basis of Type, technology, application, and region. On the basis of Type, the global land mobile radio (LMR) systems market is segmented into hand portable and mobile. On the basis of technology, the global land mobile radio (LMR) systems market is segmented into analog and digital. Digital segment is further sub segmented into TETRA, Project 25, dPMR, DMR, and TETRAPOL. On the basis of application, the global land mobile radio (LMR) systems market is segmented into military (government), commercial, construction, transportation, and others (mining and utilities). On the basis of region, the global land mobile radio (LMR) systems market is segmented into North America, Latin America, Europe, Asia Pacific, and Rest of the World.
Key features of the study:
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