The global 5G Chipset Market is expanding rapidly as demand for high-speed connectivity, advanced smartphones, and next-generation communication infrastructure increases worldwide. According to Grand View Research, the global market was valued at USD 39.3 billion in 2023 and is projected to grow from USD 66.1 billion in 2026 to USD 143.7 billion by 2030, registering a CAGR of 20.7% from 2024 to 2030.
This growth is supported by the rollout of 5G networks, increasing adoption of 5G-enabled smartphones, rising use of Internet of Things (IoT) devices, and growing demand for reliable, low-latency communication. The integration of 5G connectivity into industrial automation, connected vehicles, healthcare, and smart-city infrastructure is also creating new opportunities for chipset manufacturers.
Key Drivers of 5G Chipset Market Growth
Increasing Adoption of 5G Smartphones
The rising availability of 5G-enabled smartphones is a major factor supporting market expansion. Consumers increasingly expect faster downloads, improved streaming quality, responsive gaming, and seamless video communication. These capabilities require advanced modem and radio-frequency chipsets that can deliver reliable performance across different network conditions.
As smartphone manufacturers expand 5G functionality across premium and affordable devices, demand for compatible semiconductor components is expected to increase.
Expansion of 5G Network Infrastructure
Telecommunication operators are investing in network upgrades to improve coverage, increase capacity, and support growing mobile data traffic. These investments create demand for chipsets used in base stations, radio equipment, and other telecommunications infrastructure.
The transition toward advanced 5G architectures also supports demand for high-performance and energy-efficient components that can manage increasingly complex network operations.
Growth of IoT and Industrial Connectivity
The Internet of Things is creating additional opportunities for 5G chipset suppliers. Connected devices across manufacturing, transportation, healthcare, logistics, and smart cities require dependable communication and efficient data processing.
5G chipsets can support applications such as industrial monitoring, connected vehicles, remote equipment management, and real-time data exchange. As more organizations adopt connected systems, demand is expected to broaden beyond smartphones and traditional consumer electronics.
Core Market Segmentation
According to Grand View Research, the 5G Chipset Market is segmented by chipset type, operating frequency, processing node type, deployment type, industry vertical, and region.
• Chipset Type: Radio Frequency Integrated Circuits (RFICs) dominated the market, accounting for 45.09% of global revenue in 2023. RFICs support radio-frequency signal transmission and reception in smartphones and network equipment. The modem segment is also expected to experience significant growth as manufacturers integrate advanced 5G modems into system-on-chip (SoC) designs.
• Operating Frequency: The Sub-6 GHz segment dominated in 2023 because it offers broad coverage and better signal penetration than higher-frequency bands. The 24–39 GHz segment is expected to experience significant growth as millimeter-wave technology enables ultra-high-speed connectivity for data-intensive applications.
• Processing Node Type: The 7 nm segment held the leading position in 2023, supported by its balance of power efficiency, performance, and transistor density. The 10 nm segment is projected to expand at the highest CAGR from 2024 to 2030, according to the report.
• Deployment Type: Smartphones dominated the market in 2023, accounting for approximately 50.8% of revenue. Connected devices are expected to grow significantly as 5G adoption expands across smart-home products, industrial equipment, and IoT applications.
• Industry Vertical: IT and telecommunications dominated in 2023, driven by demand for chipsets in telecom base stations, broadband gateways, and communication equipment. Manufacturing is expected to experience significant growth as businesses adopt smart factories, industrial automation, and machine-to-machine communication.
Regional Market Outlook
Asia Pacific
Asia Pacific dominated the global 5G Chipset Market, accounting for 41.2% of revenue in 2023. The region benefits from expanding 5G networks, rising smartphone adoption, and a strong semiconductor and electronics manufacturing ecosystem.
China's increasing adoption of affordable 5G smartphones supports regional demand, while India offers additional opportunities as 5G-enabled devices become more widely available. Japan and South Korea also contribute through advanced telecommunications infrastructure and industrial connectivity initiatives.
North America
North America is another important market, supported by telecommunications investment and growing adoption of connected technologies. Applications in autonomous vehicles, augmented reality, virtual reality, and smart infrastructure are creating demand for chipsets capable of delivering high bandwidth and low latency.
Europe and Middle East & Africa
Europe is projected to register a 20.0% CAGR from 2024 to 2030, supported by network expansion and greater availability of 5G smartphones. Meanwhile, the Middle East and Africa region is anticipated to grow at a 21.4% CAGR over the same period, driven by network deployment, smartphone adoption, and investment in connected infrastructure.
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Competitive Landscape
The 5G Chipset Market is shaped by semiconductor innovation, product launches, and competition among established chip designers and technology companies. Key companies identified by Grand View Research include:
• Huawei Technologies, Inc.
• MediaTek Inc.
• Intel Corporation
• Samsung Electronics Co., Ltd.
• Infineon Technologies AG
• Qualcomm Technologies, Inc.
• Unisoc Communications Inc.
• Qorvo, Inc.
• Murata Manufacturing Co., Ltd.
• MACOM
Product innovation remains important to competition. Grand View Research highlights launches such as MediaTek's Dimensity 8300 in November 2023 and Qualcomm's Snapdragon X75 modem in February 2023 as examples of continued development in 5G chipset technology.
Challenges and Future Opportunities
Despite strong growth prospects, the market faces challenges, including high chipset development costs, semiconductor manufacturing complexity, supply-chain constraints, and pressure to improve device affordability. The cost of advanced components can influence the final price of 5G-enabled products, particularly in price-sensitive markets.
However, continued investment in semiconductor design, energy efficiency, and integrated modem technologies may help manufacturers improve performance and manage costs. Growing demand for connected vehicles, industrial IoT, smart cities, and advanced communication infrastructure will also expand potential applications.
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