Going global: Upgrades will drive demand, but imported products will threaten growth

The Telecommunications Networking Equipment Manufacturing industry has experienced nearly constant revenue declines over the past five years. Despite increasing corporate profit, access to credit and number of broadband connections, the majority of US demand has been satisfied by imports. Industry operators are anticipated to fare marginally better over the next five years. Meanwhile, imports will continue to fall. Nonetheless, companies will continue to increase their manufacturing capacity in low-wage countries, hindering exports...purchase to read more.

Industry Statistics & Market Size
Annual Growth 13-18
Forecast Growth 18-23
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Imports have been a major threat to the industry over the past five years
  • Profit has plummeted during the period
  • Imports’ share of domestic demand is expected to remain high
  • Industry Report - Industry Products Chapter

    Data communications equipment is expected to account for 30.2% of revenue. Products in this segment include local area network (LAN) and wide area network (WAN) switches, bridges, gateways, routers and telephone sets. While these products remain integral to the operations of data networks, the rising use of cell phones has diminished demand for wired telephone sets, hampering revenue from this segment.The function of a bridge is to connect two or more LAN together, enabling data to travel to and from different areas of the network. A gateway is a component that is part of two networks that use different protocols and it translates one protocol into the other. Mod...purchase to read more.

    Additional Insights for the Telecommunication Networking Equipment Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Telecommunication Networking Equipment Manufacturing Industry are

  • Effective quality control
  • Production of a range which accommodates future developments
  • Having contacts within key markets
  • IBISWorld analysts also discuss how external factors such as Demand from internet service providers and Percentage of households with at least one computer in the Telecommunication Networking Equipment Manufacturing industry impact industry performance..

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    What's in this report

    What is the Telecommunication Networking Equipment Manufacturing Industry?

    This industry manufactures wired (voice and data) telecommunications equipment, including telephone switching systems, telephones and answering machines, data bridges, routers, modems and gateways. In addition, over the past 10 years, the industry has increasingly focused on manufacturing internet protocol-based telecommunications and networking equipment.

    Industry Products
  • Wireline voice and data network equipment
  • Carrier line equipment and nonconsumer modems
  • Telephone switching and switchboard equipment
  • Industry Activities
  • Wide area network (WAN) communications equipment (e.g. bridges, routers, gateways)
  • Modem
  • Switching equipment
  • Data communications equipment
  • Telephone systems and answering machine
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from internet service providers
  • Percentage of households with at least one computer
  • Access to credit
  • Trade-weighted index

  • Current Performance
  • International trade
  • Profit fluctuates
  • Growing demand
  • Chart: Revenue Growth

  • Industry Outlook
  • Global trends and profit
  • Domestic demand
  • Table: Telecommunication Networking Equipment Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Telecommunication Networking Equipment Manufacturing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Computer & Packaged Software Wholesaling
  • Computer Stores
  • Cable Networks
  • Wireless Telecommunications Carriers
  • Wired Telecommunications Carriers
  • VoIP
  • Consumers

  • Key Selling Industries
  • Circuit Board & Electronic Component Manufacturing
  • Laminated Plastics Manufacturing
  • Semiconductor & Circuit Manufacturing
  • Wire & Cable Manufacturing

  • Products & Services
  • Carrier line equipment and nonconsumer modems
  • Wireline voice and data network equipment
  • Telephone switching and switchboard equipment
  • Chart: Telecommunication Networking Equipment Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Businesses
  • Exports
  • Retailers and wholesalers
  • Government
  • Chart: Major Market Segmentation for the Telecommunication Networking Equipment Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Other costs
  • Chart: Cost Structure Benchmarking – Sector vs Telecommunication Networking Equipment Manufacturing

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Telecommunication Networking Equipment Manufacturing Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Telecommunication Networking Equipment Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Telecommunication Networking Equipment Manufacturing Industry
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Exports (2009-2023)
  • Imports (2009-2023)
  • Wages (2009-2023)
  • Percentage of Services Conducted Online (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
  • Type of data transmission in which a single medium (wire) can carry several channels at once. It can concurrently transmit data, audio and video over long distances.
  • Cloud
  • An IT hosting and delivery system in which resources are no longer tethered to a user's physical infrastructure but are delivered to and consumed by the user as an Internet-based service.
  • Ethernet
  • The most common type of connection computers use in a local area network (LAN).
  • Internet Protocol (Ip)
  • Method by which data is sent from one computer to another on the internet.
  • Internet Service Provider (Isp)
  • A company that offers access to the internet using a data transmission technology that delivers IP packets, such as dial-up, DSL, cable modem, wireless or dedicated high-speed interconnects.
  • Research And Development (R&D)
  • Creative work undertaken by a company to increase the stock of knowledge, which can then be applied to developing a new product or improving an existing one.
  • Self-Optimizing Network (Son) Software
  • A system that enables mobile carriers to plan, configure, manage, optimize and heal cellular networks automatically, according to real-time changing network demands.
  • Telephony
  • The general use of equipment to provide voice communication over distances.
  • Wide Area Network (Wan)
  • Wireline and wireless long-distance communications network that covers a wide geographic area, like a state or country, to connect LANs.
  • What Our Customers Say

    Why buy this report?

    The Telecommunication Networking Equipment Manufacturing Industry Research Report measures market size, analyses current and future trends, and provides an indication of market share for the industry’s largest companies. IBISWorld’s collection of industry market research reports gives you insightful, up-to-date information on the supply chains, economic drivers, and key buyers and markets for hundreds of industries.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Telecommunication Networking Equipment Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Telecommunication Networking Equipment Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Telecommunication Networking Equipment Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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