Direct current (DC) power system manufacturers are experiencing a period of sustained growth with the rising deployment of mobile broadband (MBB) and fixed broadband (FBB) networks all over the world. The increased implementation of long-term evolution (LTE) infrastructure in Asia-Pacific and Europe, and the need for basic telecom infrastructure in Africa are generating a host of opportunities for DC power system suppliers in the telecom industries of developing nations that already have a large installed base of legacy infrastructure. The next big wave in the telecom industry is 5G networks, with South Korea, the United States, Japan, and China expected to be major markets. This translates to vast markets for DC power systems, particularly those with deep product penetration. Manufacturers are focusing on robust R&D to roll out smarter DC power systems due to persistent customer demand for higher efficiency power solutions.
The regions with the highest potential for DC power suppliers are Asia-Pacific and Latin America. Asia-Pacific countries continue to see strong investments in the telecom sector, owing to 4G deployments and pilot testing of 5G networks. In Latin America, Brazil has long-term growth opportunities, while Mexico maintains steady growth in telecom investment. Coupled with the opening up of the overall Latin American market, there will be a spurt in partnerships between local vendors and global DC majors that want to break into the market.
To thrive in the complex DC power systems market, manufacturers need to provide high power-efficiency solutions and a sturdy global service platform that ensures quick response to customers. While smart DC power systems with chargers for electric vehicles are poised to be a new application area, low-power ranges will bring in significant revenue over the next 3 to 4 years and propel market growth.