NETWORK ANALYZERS MARKET ANALYSIS

The global network analyzers market size was valued at USD 480.2 million in 2021 and is anticipated to witness a compound annual growth rate (CAGR) of 4.8% from 2022 to 2030.  Increasing data consumption and adoption of LTE wireless networks have led to rapid growth of the global network analyzers market. This demand is expected to increase over the next six years. The market is also primarily driven by the increasing demand for the IoT use cases. Along with this this, the increasing demand for automation solutions is also projected to drive the market.

Global Network Analyzers Market: Regional Insights

The global network analyzers market is regionally segmented into North America, Latin America, Europe, Asia Pacific, and Middle East & Africa.

North America among regions is anticipated to dominate the global network analyzers market over the forecast period. This can be attributed to increasing emergence of innovative information, communication and service products that ensure connected and safer world to the government and industry customers. For instance, in October 2019, NetAlly launched EtherScope nXG Portable Network Expert, which is a strong handheld network tester that helps network technicians and engineers in rapidly identifying, testing, verifying, and solving enterprises access networks. Moreover, increasing growth of IoT in the region is leading to high demand for network analyzers, which in turn is driving growth of the market across the region.

Furthermore, Asia Pacific is also expected to witness strong growth in the global network analyzers market over the forecast period. The growth of the region is due to increase in adoption as well as implementation of microwave technology in several end-user industries, presence of vast customer base offering lucrative investment opportunities, and increasing developments in wireless communication and IoT in countries such as Japan, India, and China in the region. For instance, as per the European Commission, in 2023, Asia-Pacific region is anticipated to dominate IoT spending market.

Figure 1. Global Network Analyzers Market Share (%), by Region, 2021

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Global Network Analyzers Market Drivers:

Increasing popularity of precisive manufacturing is expected to fuel growth of the global network analyzers market over the forecast period. Several components used specifically in telecommunication, electronics, aerospace & defense, semiconductor among several other end-user industries are increasingly being miniaturized due to which the demand for precisive manufacturing is increasing around the world. To manufacture these components, high level of accuracy and precision is required. And thus, the use of network analyzers has increased for testing, measuring, and calibrating these precisive manufacture components. Thus, the increase in interest in precisive manufacturing is likely to boost growth of the global network analyzers market.

Moreover, rise in expansion of end-user industries is projected to drive growth of the global network analyzers market over the forecast period. Due to rise in technological developments such as growing adoption of wireless communication, connectivity platform 4G, 5G, and LTE etc. is leading to growing expansion of the end-user industries such as communication, aerospace & defense, and automotive among several others. Moreover, rise in adoption of IoT also plays an important role in increasing expansion of these end-user industries. Thus, due to aforementioned factors the market is expected to witness strong growth in the near future.

Global Network Analyzers Market Opportunities:

Increasing investment by automotive players in connected car technology is likely to create growth opportunities for the global network analyzers market during the forecast period. Due to increasing complexity of the ecosystem, growing number of automotive manufacturers are focused on investment in connected car technology. According to TIM, in 2025, the number of connected cars will reach nearly 100 million, and thus, several market players are involved in development of more efficient data receiving and sending solutions for larger amount of data to and from the cloud. This is further likely to create multiple lucrative opportunities for the market.

Furthermore, increasing number of autonomous vehicles/cars is likely to create a lucrative environment for growth opportunities in the global network analyzers market over the forecast period. The adoption of sensors is likely to increase due to growing number of autonomous vehicles. These sensors help ascertaining the data about surroundings of the vehicle. Moreover, modern vehicles contain more than 100 control units that create a large amount of information. Such autonomous and connected vehicles perform cost exchange of data, and this further boosts the demand for network analyzers in the industry.

Global Network Analyzers Market Trends:

Increase in development of advanced analyzers due to changing needs in the production line is a major trend in the global network analyzers market. The need for testing multiport devices in lesser time with high accuracy and without reduction of the test station size is increasing, which in turn in leading to development of advanced analyzers. For instance, M937A Series PXIe VNAs is developed to test the complex silicon wafers, advanced radar systems, and wireless devices. The PXI vector network analyzers are full two-port VNAs that can fit in one slot and gives accurate measurements, high performance, and reduced testing cost, as it enables simultaneous characterization of several devices multi- or two-port with the use of only one PXI chassis.

Growing evolution of high-frequency devices is also a growing trend in the global network analyzers market, which is likely to boost the market growth during the forecast period. Due to basic ability of network analyzers to measure important properties of devices and circuits such as refection, transmission, and impedance, the high-frequency devices are increasingly advancing. With a new analyzers, engineers can optimize the performance of signal-separation, and filtering devices, frequency converters, and amplifiers among various others. Thus, the emergence of advanced high-frequency devices is growing, and this trend will continue in the market during the forecast period.

Global Network Analyzers Market Restraints:

Factors such as dearth of trained and skilled manpower is expected to obstruct growth of the global network analyzers market over the forecast period. The demand for trained and skilled labor in the market is high; however, there is a lack of such workforce, as network analyzing has to be performed by skilled professionals that underwent detailed training for the product in presence of subject-matter experts in order to gain several skills and techniques involved in data analyzing. Thus, shortage of such skilled workforce is likely to restrain the market growth in the forecast future.

Furthermore, unfavorable conditions arising due to the epidemic of Covid-19 is also projected to hinder growth of the global network analyzers market over the forecast period. The Covid-19 outbreak in December 2019 impacted several industries around the world. The demand for network analyzers was also impacted by the pandemic in industries such as aerospace and defense, and automotive, due to the lockdown situations. The declined demand of network analyzers in such end-user industries is likely to affect the market negatively.

Figure 2. Global Network Analyzers Market Share (%), by Segment Type, 2021

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Global Network Analyzers Market Segmentation:

The global network analyzers market report is segmented into Application and Regions

Based on Application, the market is segmented into Communication, Aerospace and Defense, Automotive, Electronics, and Other Applications. Out of which, Communication is expected to dominate the global market over the forecast period and this is attributed to the increasing development and adoption 5G technology in several industries around the globe leading to rise in internet traffic. This is further boosting the demand for network analyzers in various end-user industries.

Aerospace and Defense segment is also expected to witness significant growth in the near future and this is owing to the high demand for effective communication systems in aerospace industries to reduce accidents caused due to faulty communication between air traffic controllers and pilots. Moreover, growing shift of aviation industry towards the IP-based systems is driving the demand for network analyzers. This in turn is driving growth of the segment.

Global Network Analyzers Market: Key Companies Insights

The global network analyzers market is highly competitive. This is attributed to continuous launch of new technologies due to ongoing R &D and efforts by value chain participants. Moreover, key players are adopting various business growth strategies in order to expand their presence on regional as well as global basis.

Some of the key players in the global network analyzers market are Advantest Corporation, Tektronix Inc., National Instruments Corporation, Rohde & Schwarz GmbH & CoKG, Teledyne LeCroy Inc., Keysight Technologies Inc., Anritsu Corporation, and Transcom Instruments Co. Ltd.

*Definition:

A network analyzer is an instrument that is used to measure the parameters of an electrical network. This includes the parameters of transmitters, receivers, switches, and other components. The analyzer can measure the magnitude, phase, amplitude, and transmission & reflection characteristics of a variety of components.