Strong signal: Rising investment and the expansion of new technology will boost industry revenue

The Wireless Tower Construction industry has seen high levels of revenue volitility following the recession. Strong demand for mobile data and high-speed connections has stimulated demand from the downstream telecommunications sector, which had been relying on older existing technology to reduce costs. Despite high internal competition, industry profitability has increased largely due to strengthening telecommunication infrastructure investments as well as improvements in contract pricing of wireless services and better efficiencies. Demand for telecommunication infrastructure construction is anticipated to steadily grow over the five years to 2021. Local and state government investment, which includes funding for telecommunications projects, is also anticipated to slowly recover...read more.

Industry Statistics & Market Size
Revenue
$7bn
Annual Growth 11-16
3.2%
Forecast Growth 16-21
Profit
Employment
21,443
Businesses
525
Market Share of Companies
What Our Customers Say

Industry Threats & Opportunities

  • Strengthening telecommunication infrastructure investments have increased industry profitability
  • High competition and limited profit growth have forced the industry to steadily consolidate
  • Operators will benefit from robust growth in demand from the telecommunications sector
  • Industry Report - Industry Investment Chapter

    The Wireless Tower Construction industry exhibits a low to moderate level of capital intensity. Using wages as a proxy for labor and depreciation as a proxy for capital, IBISWorld estimates that for every dollar spent on labor in the industry, $0.15 will be spent on capital. While the high level of technological change in the industry requires operators to invest in new machines and equipment, many industry operators are small regional companies that benefit from renting construction equipment. Furthermore, materials and parts, including steel and equipment shelters, are accounted for under purchase costs rather than depreciation. Consequently, depreciation constitutes a relatively small share of industry revenue...purchase to read more.

    Additional Insights for the Wireless Tower Construction Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Wireless Tower Construction Industry are

  • Ability to compete on tender
  • Having a good reputation
  • Ability to quickly adopt new technology
  • IBISWorld analysts also discuss how external factors such as Demand from wireless telecommunications carriers and Number of mobile internet connections in the Wireless Tower Construction industry impact industry performance..

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    What is the Wireless Tower Construction Industry?

    Operators in this industry primarily engage in the construction of wireless communication structures, including transmission lines, towers, cables and other utility structures. The work performed may include new work, reconstruction, rehabilitation and repairs. Industry operators include specialty contractors primarily engaged in activities related to the construction of communication lines and related structures.

    Industry Products
  • New construction
  • Construction additions, alterations, or reconstruction
  • Construction maintenance and repair
  • Industry Activities
  • Communication transmission line construction
  • Communication transmission line reconstruction and repair
  • Communication tower construction
  • Communication tower reconstruction and repair
  • Laying communication cables
  • 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 wireless telecommunications carriers
  • Number of mobile internet connections
  • Technological change
  • Value of private nonresidential construction
  • Local and state government investment

  • Current Performance
  • Need for newer infrastructure
  • Industry contraction
  • Technology change provides boost
  • Chart: Revenue Growth

  • Industry Outlook
  • Profit rises
  • Table: Wireless Tower Construction Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Wireless Tower Construction Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Land Development
  • Heavy Engineering Construction
  • Wired Telecommunications Carriers
  • VoIP
  • Telecommunications Resellers

  • Key Selling Industries
  • Construction & Mining Equipment Wholesaling
  • Glass Product Manufacturing
  • Metal Pipe & Tube Manufacturing
  • Professional, Scientific and Technical Services
  • Wire & Cable Manufacturing

  • Products & Services
  • New construction
  • Construction maintenance and repair
  • Construction additions, alterations, or reconstruction
  • Chart: Wireless Tower Construction Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Wireless telecommunications carriers
  • Government
  • Private households
  • Chart: Major Market Segmentation for the Wireless Tower Construction Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesRent and utilities and depreciationOther
  • Chart: Cost Structure Benchmarking – Sector vs Wireless Tower Construction

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Wireless Tower Construction Industry

  • Industry Globalization
    Dycom Industries Inc.MasTec Inc.
  • Table: Dycom Industries Inc. - financial performance
  • Table: MasTec Inc. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Wireless Tower Construction 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 Wireless Tower Construction Industry
    Includes:
  • Industry Revenue (2007-2021)
  • Industry Gross Product (2007-2021)
  • Establishments (2007-2021)
  • Businesses (2007-2021)
  • Employment (2007-2021)
  • Wages (2007-2021)
  • Number of mobile internet connections (2007-2021)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Infrastructure
  • An underlying framework or structure through which transmission lines and cables can be installed.
  • Lte
  • Acronym for long-term evolution, a wireless communications standard for high-speed mobile data.
  • Tendering
  • A written offer or bid to contract goods or services at a specified cost or rate.
  • Why buy this report?

    IBISWorld’s Industry Market Report on Wireless Tower Construction is a comprehensive guide to market size and growth prospects. Ensure due diligence in your research with our strategic analysis of the factors influencing companies, including new product developments; economic, lifestyle and demographic influences; distribution and supply chain factors; and pricing issues.

    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 Wireless Tower Construction:
    • 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 Wireless Tower Construction 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 Wireless Tower Construction, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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