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US NAICS 33421 | Industry Report

Telecommunications Networking Equipment Manufacturing in the US Industry Data and Analysis

TK
Taylor Kelly
Analyst New York, United States October 2025

Telecommunication networking equipment manufacturers have faced profound change in recent years, pressured by rising input costs, evolving technologies and shifting market demands. Elevated copper and semiconductor prices contribute to inflating production expenses, eroding profitability for manufacturers who can't pass on costs without losing their competitive edge. The global semiconductor shortage, compounded by tightened tariffs and geopolitical tensions, has generated supply chain vulnerabilities and forced manufacturers to diversify sourcing. Simultaneously, federal initiatives, including the CHIPS Act, the BEAD program and broader infrastructure investments, have offered a lifeline by funneling billions into broadband expansion, domestic chip production and next-generation telecom projects. In turn, revenue has heightened, growing at a CAGR of 8.1% to $4.5 billion in 2025, as the 5G nationwide expansion continues to propel demand.

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What's included in this industry analysis

IBISWorld's research coverage on the Telecommunications Networking Equipment Manufacturing industry in the United States includes market sizing, forecasting, data and analysis from 2015-2030. The most recent publication was released October 2025.

About this industry

What's this industry report about?

The Telecommunications Networking Equipment Manufacturing industry in the United States operates under the NAICS industry code 33421. 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. Related terms covered in the Telecommunications Networking Equipment Manufacturing industry in the United States include internet protocol (ip), broadband, ethernet, wide area network (wan), research and development (r&d), internet service provider (isp), telephony, cloud and self-optimizing network (son) software.

What's included in this industry?

Products and services covered in Telecommunications Networking Equipment Manufacturing industry in the United States include Ethernet switches and parts (LAN/WAN), Routers and modems and Telephone equipment.

What companies are included in this industry?

Companies covered in the Telecommunications Networking Equipment Manufacturing industry in the United States include Cisco Systems, Inc., Nokia Corp. and Juniper Networks B.V.

Performance

What's included in the Performance chapter?

The Performance chapter covers detailed analysis, datasets, detailed current performance, sources of volatility and an outlook with forecasts for the Telecommunications Networking Equipment Manufacturing industry in the United States.

Questions answered in this chapter include what's driving current industry performance, what influences industry volatility, how do successful businesses overcome volatility, what's driving the industry outlook. This analysis is supported with data and statistics on industry revenues, costs, profits, businesses and employees.

Products & Markets

What's included in the Products and Markets chapter?

The Products and Markets chapter covers detailed product and service segmentation, analysis of major markets and international trade data for the for the Telecommunications Networking Equipment Manufacturing industry in the United States.

Questions answered in this chapter include how are the industry's products and services performing, what are innovations in industry products and services, what products or services do successful businesses offer and what's influencing demand from the industry's markets. This includes data and statistics on industry revenues by product and service segmentation and major markets.

Geographic Breakdown

What's included in the Geographic Breakdown chapter?

The Geographic Breakdown chapter covers detailed analysis and datasets on regional performance of the Telecommunications Networking Equipment Manufacturing industry in the United States.

Questions answered in this chapter include where are industry businesses located and how do businesses use location to their advantage. This includes data and statistics on industry revenues by location.

Competitive Forces

What's included in the Competitive Forces chapter?

The Competitive Forces chapter covers the concentration, barriers to entry and supplier and buyer profiles in the Telecommunications Networking Equipment Manufacturing industry in the United States. This includes data and statistics on industry market share concentration, barriers to entry, substitute products and buyer & supplier power.

Questions answered in this chapter include what impacts the industry's market share concentration, how do successful businesses handle concentration, what challenges do potential industry entrants face, how can potential entrants overcome barriers to entry, what are substitutes for industry services, how do successful businesses compete with substitutes and what power do buyers and suppliers have over the industry and how do successful businesses manage buyer & supplier power.

Companies

What's included in the Companies chapter?

The Companies chapter covers Key Takeaways, Market Share and Companies in the Telecommunications Networking Equipment Manufacturing industry in the United States. This includes data and analysis on companies operating in the industry that hold a market share greater than 5%.

Questions answered in this chapter include what companies have a meaningful market share and how each company is performing.

External Environment

What's included in the External Environment chapter?

The External Environment chapter covers Key Takeaways, External Drivers, Regulation & Policy and Assistance in the Telecommunications Networking Equipment Manufacturing industry in the United States. This includes data and statistics on factors impacting industry revenue such as economic indicators, regulation, policy and assistance programs.

Questions answered in this chapter include what demographic and macroeconomic factors impact the industry, what regulations impact the industry, what assistance is available to this industry.

Financial Benchmarks

What's included in the Financial Benchmarks chapter?

The Financial Benchmarks chapter covers Key Takeaways, Cost Structure, Financial Ratios, Valuation Multiples and Key Ratios in the Telecommunications Networking Equipment Manufacturing industry in the United States. This includes financial data and statistics on industry performance including key cost inputs, profitability, key financial ratios and enterprise value multiples.

Questions answered in this chapter include what trends impact industry costs and how financial ratios have changed overtime.

Industry Data

What's included in the Industry Data chapter?

The Industry Data chapter includes 10 years of historical data with 5 years of forecast data covering statistics like revenue, industry value add, establishments, enterprises, employment and wages in the Telecommunications Networking Equipment Manufacturing industry in the United States.

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Frequently Asked Questions

What is the market size of the Telecommunications Networking Equipment Manufacturing industry in the United States in 2026?

The market size of the Telecommunications Networking Equipment Manufacturing industry in the United States is $4.5bn in 2026.

How many businesses are there in the Telecommunications Networking Equipment Manufacturing industry in the United States in 2025?

There are 137 businesses in the Telecommunications Networking Equipment Manufacturing industry in the United States, which has declined at a CAGR of 3.9 % between 2020 and 2025.

How may import tariffs affect the Telecommunications Networking Equipment Manufacturing industry in the United States?

The Telecommunications Networking Equipment Manufacturing industry in the United States is likely to be impacted by import tariffs with imports accounting for a moderate share of industry revenue.

How may export tariffs affect the Telecommunications Networking Equipment Manufacturing industry in the United States?

The Telecommunications Networking Equipment Manufacturing industry in the United States is likely to be impacted by export tariffs with exports accounting for a moderate share of industry revenue.

Has the Telecommunications Networking Equipment Manufacturing industry in the United States grown or declined over the past 5 years?

The market size of the Telecommunications Networking Equipment Manufacturing industry in the United States has been growing at a CAGR of 8.1 % between 2020 and 2025.

What is the forecast growth of the Telecommunications Networking Equipment Manufacturing industry in the United States over the next 5 years?

Over the next five years, the Telecommunications Networking Equipment Manufacturing industry in the United States is expected to decline.

What are the biggest companies in the Telecommunications Networking Equipment Manufacturing industry in the United States?

The biggest companies operating in the Telecommunications Networking Equipment Manufacturing industry in the United States are Cisco Systems, Inc., Nokia Corp. and Juniper Networks B.V.

What does the Telecommunications Networking Equipment Manufacturing industry in the United States include?

Wide area network (WAN) communications equipment (e.g. bridges, routers, gateways) manufacturing and Modem manufacturing are part of the Telecommunications Networking Equipment Manufacturing industry in the United States.

Which companies have the highest market share in the Telecommunications Networking Equipment Manufacturing industry in the United States?

The company holding the most market share in the Telecommunications Networking Equipment Manufacturing industry in the United States is Cisco Systems, Inc..

How competitive is the Telecommunications Networking Equipment Manufacturing industry in the United States?

The level of competition is high and increasing in the Telecommunications Networking Equipment Manufacturing industry in the United States.

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