The signal generator market is expected to register a CAGR of 8.34% over the forecast period from 2021 to 2026. Signal generators are also called frequency synthesizers and are crucial instruments of almost all RF/microwave test -and -measurement systems. They are extensively used to test, repair, and troubleshoot a variety of electronic devices and systems. They are considered to be the fastest-growing segment in the global test-measurement market over the next few years. Signal generators have evolved from a simple continuous-wave device to advanced modulation devices with superior software control, modulation capabilities, and user interfaces. Improvements such as the use of new software techniques that enhance the linearity, bandwidth, and signal creation capabilities further increase the market share for signal generators.
- It is expected that the demand will be driven by wireless communications, aerospace and defense, automotive industries as well as new technologies such as 5G. Demand for RF Generators is primarily impacted by 5G R&D and design activity. Continued development of wireless standards is further expected to push the demand for this equipment over the forecast period. The industry also demands more complex waveforms, ranging from traditional analog modulation to complex vector formats such as IQ modulation. A shift in market requirements toward higher operating frequencies and wider modulation bandwidths is expected due to the advent of new technologies such as 5G, the next generation of wireless cellular technology, and others.
- The rapid development of standards such as wireless interoperability for microwave access (WiMAX), third-generation (3G) wireless, fourth-generation (4G) wireless, and wideband code -division multiple access (WCDMA) will aid in growth in the 5G domain. This would further increase the demand for signal generators. Among all the applications, testing is forecast to be the most widely used. With the increase in the adoption of the Internet of Things (IoT), many devices are being connected to the Internet. While low latency is not provided for all applications and devices in the short term due to costs, the desire for low or no latency for several devices and applications exists and provides opportunities to test manufacturers, who then utilize signal generators.
- In May 2020, SIGLENT released a new RF Analog/Vector Signal Generator series. It features a much higher output frequency range than the previous SSG3000X series. With its powerful functions and wide frequency range, SSG5000X is ideal for applications, such as receiver tests, amplifier tests, IP3 measurement & Radar and digital modulation tests, Spur and harmonics measurement, ACPR tests, and cable loss compensation. Companies are also involved in partnerships. For instance, in December 2019, Anritsu collaborated with Verkotan Oy to bring 5G network equipment and 5G modem/phone customers a reliable testing method. It will help to provide traditional passive antenna testing as well as building dynamic antenna beamforming testing capability for 5G base station EIRP and EIS OTA measurements.
- Educating end users on the essentiality of interoperability and the need for specialized testing equipment is essential for market success. At present, the lack of end-user awareness on the need for proactive solutions limits the large-scale use of a signal generator. End-user inability to identify the appropriate solution from a variety of identical systems too limits adoption. COVID-19 pandemic spread harmed the market with customer’s preferences moving towards essential items and hence dropping the demand for automobiles and electronics. The aerospace sector also witnessed a significant decline due to the closing of borders and the ban on international traveling globally. Thus, vendors supplying to these industries have reported a decline in revenue in the first quarter of 2020.
Key Market Trends
Automotive is Expected to Hold Significant Share
- The automotive industry is one of the driving forces for the market studied. The growing adoption of electric cars in emerging countries may support the market growth over the forecast period. Owing to the increased use of electronics components and sensors in vehicles, signal generators have become necessary for testing and troubleshooting sensors, solenoids, actuators, primary and secondary ignitions, and communication data streams, among others. In the Automotive industry, signal generators are generally used to test in-car entertainment and driver assisting aids such as reverse parking sensors and remote keys.
- In recent years, the demand for signal generators has increased principally due to testing requirements in the R&D of autonomous vehicle technologies and hybrid power-train systems. Global automakers are increasingly using signal generators to ensure the safety, quality, and reliability of radars and sensors used in autonomous vehicle technologies. Signal generators are also used to test the communication link between critical devices such as radars, sensors, and the central computing unit. Advances in electrical and electronic vehicle technology, which occurred over recent years, made the use of signal generators in testing, troubleshooting, and diagnosis almost mandatory.
- Further, the European Union has deployed a new regulation, the emergency call (eCall) system, which offers fast assistance in the event of a car accident. Owing to this, all new vehicles sold after the first quarter of 2018 in the European market, are necessitated to have an In-Vehicle System (IVS) supporting eCall. These systems are required to be appropriately tested before being sold. To ensure faster time to market and economical tests, it is necessary to stimulate the IVS with standard conform GNSS signals in a laboratory to ensure repetitively, and standard conforms testing, where a signal generator plays a prominent role.
- Also, to the new eCall regulations, there is a new standard to safeguard GNSS-based devices from the consequences of adjacent band interference. This standard was deployed by the European Telecommunications Standards Institute (ETSI). The standard ensures that any new or an altered GNSS product launched in the European Union can withstand a level of adjacent band interference and continue to operate without interruption. These systems also need to be tested, which generates demand for signal generators.
- Further, the development of autonomous cars has increased the demand for sensors and radar-based systems, deployed for safe operation. These sensors and radars are majorly based on an ultrasonic frequency having a spectrum range of around 40 kHz. With the increasing deployment of the in-car entertainment systems and growing investments in R & D, new automotive systems generate the demand for signal generators with frequencies of range 50-100 MHz.
Asia-Pacific is Expected to Witness Significant Growth
- The Asia-Pacific region is expected to witness significant growth for the signal generator market. The increase is due to the surging demand of signal generators, especially in nations, like China, India, and South Korea. The growing LTE adoption in Asia-Pacific is also driving the market's growth. According to Ericsson, it is estimated that Asia Pacific would account for approximately 3 billion LTE subscriptions in 2020, increasing more than 300 million LTE subscriptions compared to 2019. There is a rising demand for signal generators among automotive and electronics manufacturers, which helps the market expand across the region.
- In October 2019, RIGOL Technologies, headquartered in Suzhou China with an R & D center in Beijing, announced a significant expansion of its RF Test Portfolio with four new models of the DSG800 Series RF Signal Generator. The exponential increase of IoT connected devices has led to a significant increase in the amount of digital data transmitted via local RF interfaces. This expansion has created a need for affordable IQ generation capabilities. RIGOL's new DSG800A models provide support for internal and external IQ generation allowing engineers to generate IQ traffic to simulate or validate their designs quickly.
- In November 2019, China officially commenced the research and development of the 6G telecom service, days after launching 5G cellular services in the country in a bid to advance its ambitious goal to emerge as a global leader in the next generation telecom technology, surpassing the United States and the western countries. The Chinese Ministry of Science and Technology even announced two offices' establishment to develop 6G, setting off the competition for the next-generation cellular data service that comes after the super-fast 5G. These developments in the region is expected to impact the signal generators market positively.
- In May 2020, Keysight Technologies, Inc. announced that China Unicom, one of the largest mobile operators, has chosen the company's 5G device testing solutions to ensure 5G smartphones and consumer premises equipment comply with the latest 5G new radio (NR) standards. In November 2019, China Unicom launched the 5G services to deliver mobile connectivity to consumers in certain Chinese cities. To expand on the services, China Unicom will utilize Keysight's 5G wireless test platforms to verify that new 5G mobile devices fulfill end-users' expectations regarding performance, security, and privacy.
The signal generators market is quite fragmented as a considerable number of companies occupy a significant share in the market. Mostly, increased R&D efforts, new technologies, and increased adoption of signal generators provide lucrative opportunities in the spectrum analyzer market. Overall, the competitive rivalry among the existing competitors is high.
- June 2020 - Keysight Technologies, Inc. enhanced the company’s performance network analyzers with high-performance signal generators to simplify and speed up complex measurements. With the clean source signals, users can perform two-tone IMD measurements with close tone spacing previously only possible with high-performance analog signal generators.
- February 2020 - B&K Precision released its 4060B Series Dual Channel Function/Arbitrary Waveform Generators consist of 40 MHz, 80 MHz, and 120 MHz models. These generators produce stable and precise sine, square, triangle, pulse, and arbitrary waveforms with 16-bit vertical resolution.
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1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
4.1 Market Overview
4.2 Industry Value Chain Analysis
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Bargaining Power of Suppliers
4.3.2 Bargaining Power of Consumers
4.3.3 Threat of New Entrants
4.3.4 Threat of Substitutes
4.3.5 Intensity of Competitive Rivalry
4.4 Market Drivers
4.4.1 Increased Adoption of Electronic Devices
4.4.2 Modern Communication Systems
4.4.3 Increasing Demand for Arbitrary Waveform Generators
4.5 Market Restraints
4.5.1 Intense Competition Causing Pricing Pressure
4.5.2 High Import Duty and Taxes on Imported Raw Materials
4.6 Assessment of Impact of COVID-19 on the Industry
5 MARKET SEGMENTATION
5.1 By Product
5.1.1 General Purpose Signal Generator
184.108.40.206 RF Signal Generator
220.127.116.11 Microwave Signal Generator
18.104.22.168 Arbitrary Waveform Generator
5.1.2 Special Purpose Signal Generator
22.214.171.124 Video Signal Generator
126.96.36.199 Audio Signal Generator
188.8.131.52 Pitch Generator
5.1.3 Function Generator
184.108.40.206 Analog Function Generator
220.127.116.11 Digital Function Generator
18.104.22.168 Sweep Function Generator
5.2 By Technology
22.214.171.124 Global System For Mobile Phones (GSM)
126.96.36.199 Code Division Multiple Access (CDMA)
188.8.131.52 Wideband Code Division Multiple Access (WCDMA)
184.108.40.206 Code Division Multiple Access (CDMA2000)
5.2.3 5G - 4G
220.127.116.11 3GPP Long Term Evolution (LTE)
5.3.6 Other Applications
5.4 End-user Industry
5.4.2 Aerospace and Defense
5.4.4 Electronics Manufacturing
5.4.6 Other End-user Industries
5.5.1 North America
5.5.4 Latin America
5.5.5 Middle-East and Africa
6 COMPETITIVE LANDSCAPE
6.1 Company Profiles
6.1.1 Keysight Technologies Inc.
6.1.2 Rohde & Schwarz Gmbh & Co. Kg
6.1.3 National Instruments Corporation
6.1.4 Anritsu Corporation
6.1.5 Tektronix Inc. (Keithley Instruments Inc.)
6.1.6 Teledyne Technologies Incorporated
6.1.7 B&K Precision Corporation
6.1.8 Fluke Corporation
6.1.9 Stanford Research Systems
6.1.10 Good Will Instrument Co. Ltd
6.1.11 Yokogawa Electric Corporation
7 INVESTMENT ANALYSIS
8 FUTURE OUTLOOK OF THE MARKET
Secondary Research Information is collected from a number of publicly available as well as paid databases. Public sources involve publications by different associations and governments, annual reports and statements of companies, white papers and research publications by recognized industry experts and renowned academia etc. Paid data sources include third party authentic industry databases.
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REPORT WRITING/ PRESENTATION
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