The microwave devices market is estimated to be valued at USD 8.42 Bn in 2024 and is expected to reach USD 12.61 Bn by 2031, growing at a compound annual growth rate (CAGR) of 5.94% from 2024 to 2031. Increasing demand for wireless communication across industries like consumer electronics, IT and telecom, aerospace, and others is expected to drive the microwave devices market.

Market Driver - Rising Demand for Medical Instruments Equipped with Microwave Devices

The microwave devices market is witnessing significant growth due to rising demand for medical instruments equipped with microwave technology. Microwave radiation has widely been used in various medical applications such as diathermy, microwave ablation, and hyperthermia to treat a variety of diseases. In diathermy, microwave energy is used to gently heat deep muscles and joints to provide pain relief for conditions such as arthritis, sprains, and muscle strains.

On the other hand, rising cancer incidence globally has augmented the demand for minimally invasive ablation techniques. According to WHO, cancer burden is expected to rise by over 60% in the next 20 years majorly impacting developing nations. This in turn is bolstering the requirement of technologically sophisticated microwave ablation devices with improved features for better treatment outcomes.

Moreover, availability of favorable reimbursement for such ablation procedures in developed countries is encouraging widespread adoption. With ongoing refinement, microwave-based medical solutions are likely to permeate other therapy areas as well over the coming years thereby driving substantial growth of microwave devices markets.

Market Driver - Expansion of 5G Technology Infrastructure

The microwave devices market is further witnessing an upsurge owing to rapid expansion of 5G infrastructure globally. Development of such networks requires deployment of advanced high-frequency microwave components such as power amplifiers, antennas, switches, duplexers at macro base stations and small cells across coverage areas. According to recent studies, 5G infrastructure build-out would necessitate over 200 million microwave devices by the end of this decade.

5G deployments are rapidly progressing especially across major economies to reap benefits of high-speed connectivity. Countries are undertaking mega projects and investing billions of dollars to accelerate nationwide 5G rollouts and upgrade existing cellular infrastructure. This has created a surge in demand for advanced 5G microwave equipment such as phased arrays, active antenna systems and filters.

Microwave technologies continue to remain the preferred medium for 5G backhaul over long haul links. It is mainly due to their high performance, reliability and flexibility. This will drive growth for the microwave devices market.

Market Challenge - High Cost Associated with Microwave Device Technology

One of the major challenges impacting the growth of the microwave devices market is the high cost associated with microwave device technology. Developing microwave devices requires highly specialized components and materials that make the production process expensive.

In addition, the fabrication of these devices requires expensive capital-intensive wafer fabs and equipment tailored for III-V compound semiconductor production. This raises the fixed costs for microwave device manufacturers substantially. The high manufacturing costs are further increased due to the precision and miniaturization required for microwave devices.

The high costs restrict the affordability and large-scale proliferation of microwave technology especially in consumer applications. It hinders the commercialization potential of new entrants who find it challenging to price their products competitively. Unless manufacturing costs are reduced substantially, the high cost of equipment and components will remain a major restraining factor negatively impacting the long-term mass market potential of the microwave devices industry.

Market Opportunity - Rapid Commercialization in the Telecom Industry

One of the key growth opportunities for the microwave devices market is the rapid proliferation of 5G networks globally. 5G networks rely heavily on millimeter-wave frequencies between 24 GHz and 100 GHz for higher bandwidth capabilities. This opens up a massive demand for associated microwave components like RF filters, duplexers, power amplifiers, antenna tuners and phase shifters from telecom operators rolling out 5G infrastructure.

In addition, growing mobile data traffic is prompting telecom operators to extensively deploy small cells and increase the density of existing macro cell sites. This is creating demand for low-cost microwave backhaul products. Moreover, rapidly expanding applications of radar, satellite and wireless communication technologies also augur well for the microwave devices industry

If capitalized properly through innovative new product development, these high growth domains in the microwave devices market can help offset fluctuations in the telecom industry cycles. It can also significantly boost the commercial opportunities for the global microwave devices market over the long run.

Some of the leading companies in the microwave devices market such as Analog Devices, L3 Technologies, Teledyne Technologies, Thales Group, Qorvo, CPI International, General Dynamics, Kratos Defense, and others have focused on continuous innovation to maintain an edge. For example, in 2020, Analog Devices introduced new Gallium Nitride (GaN) based monolithic microwave integrated circuit (MMIC) power amplifiers that delivered higher output power and greater efficiency for 5G, satellite, and radar applications. This helped Analog Devices strengthen its portfolio of RF and microwave products.

Companies have also adopted strategic acquisitions to enhance their product portfolios. For instance, in 2018, Qorvo acquired Decawave to add ultrawideband (UWB) technology to its portfolio of RF solutions. UWB helped enable high-precision indoor positioning capabilities in smartphones and enabled new IoT applications. This acquisition established Qorvo as a leader in UWB.

Players in the market have also focused on partnerships and collaborations to co-develop new products catering to emerging application areas such as 5G, autonomous vehicles, and space technology. For example, in 2021, Teledyne Defense Electronics partnered with Qorvo to design advanced gallium nitride (GaN) and gallium arsenide (GaAs) based MMICs and monolithic microwave integrated circuits (MMICs) for next-generation radars, electronic warfare, and communications systems.

Additionally, companies cater to diverse application segments with customized solutions. In 2020, CPI International supplied their high-power solid-state transmit/receive modules and transmit/receive multi-couplers to support a next-generation Over-The-Horizon radar system. This win strengthened their presence in the defense radar market.

Insights, By Product Type: Innovation in Product Design drives Solid-State Devices adoption

In terms of product type, solid-state devices contributes 60.7% share of the microwave devices market owning to continuous innovation and design advancements. Solid-state devices offer higher reliability, miniaturization of components, lower power consumption, and better durability compared to traditional vacuum tube devices.

Leading manufacturers are focusing on developing cutting-edge semiconductor materials like Gallium Nitride (GaN) and Silicon Carbide (SiC) to push the power and frequency capabilities of solid-state devices. Such wide bandgap semiconductor substrate offers improved efficiency, higher power density, and suitability for use at higher operating temperatures.

In addition, advanced 3D multi-chip packaging technology allows stacking of multiple active layers in a small footprint, resulting in highly compact and integrated solid-state transceiver designs. The demand from next-generation wireless infrastructure and 5G networks for high-power radios at mmWave frequencies acts as a key driver for wide adoption of advanced solid-state devices.

Insights, By Application: Rising Connectivity Drives Growth in Communication Applications

In terms of application, communication contributes 41.1% share of the microwave devices market driven by increasing deployment of wireless networks globally. Microwave devices play a crucial role in applications ranging from point-to-point radio links, cellular backhaul infrastructure, ISP networks to satellite communication systems.

Rapid growth in data traffic volumes fueled by emerging technologies like IoT, autonomous vehicles, e-commerce is compelling service providers to densify their networks as well as expand coverage into new areas through small cells and DAS systems. This stimulates the demand for high-capacity microwave backhaul solutions that can deliver Gbps data rates over long distances in a cost-effective manner.

Further, greenfield 5G rollouts in Asia, Middle-East and Africa will create many new opportunities for microwave links to back-end these advanced cellular networks. This will drive important trends in the microwave devices market.

By Band Frequency: Satellite Communication Drives Expansion of C-band Systems

In terms of band frequency, C-band contributes the highest share in the microwave devices market currently. However, Ka-band usage is growing at a faster rate driven by rising adoption in satellite communication. Ka-band (26.5-40 GHz) provides viable transmission windows for satellite payloads and user terminals as it balances link budget with available transmit power levels from satellites.

Moving satellite payload transponders and gateway earth stations to Ka-band frees up increasingly scarce C-band spectrum for wireless network use. New satellite constellations for broadband internet access particularly utilize the high throughput potential of the Ka-frequency spectrum.

Growing demand for connectivity on aircraft, maritime vessels and remote locations is fueling development of specialized Ka-band terminals as well. Defense agencies also utilize Ka-band due to its higher resistance to weather and better proliferation capabilities through foliage compared to lower frequencies.

• The integration of microwave devices in autonomous vehicles for improved sensing and navigation is gaining traction.
• Increasing investment in space exploration has led to higher demand for microwave devices in satellite communications.
• The Asia-Pacific region is expected to witness the fastest growth in the global microwave devices market, with a CAGR of approximately 8%, due to rising investments in telecommunications and defense.
• Solid-state devices hold a larger share in the microwave devices market compared to vacuum electron devices, driven by their efficiency and reliability.

The major players operating in the microwave devices market include Analog Devices, Inc., Teledyne Technologies, Texas Instruments, L3 Harris Technologies, Inc., Honeywell International Inc., Mitsubishi Electric Corporation, Panasonic Corporation, Qorvo, Inc., Thales Group, Cobham Limited, Thales Group, Keysight Technologies, Richardson Electronics, Toshiba Corporation, and NEC Corporation.

• In April 2024, Samsung introduced its Bespoke AI microwave series in India, featuring enhancements tailored to the local market. These microwaves offer personalized AI recipes, including 'low fat' options, and are compatible with voice assistants like Alexa, Bixby, and Google Assistant.
• In February 2024, Bluefors introduced the Microwave Readout Module, featuring a built-in traveling wave parametric amplifier (TWPA) designed for near-quantum-limited signal amplification at millikelvin temperatures. This preassembled module includes all necessary microwave components for qubit readouts, supporting a wide frequency band suitable for multiplexed qubit measurements.
• In September 2023, Tempo Australia introduced six new Sharp microwave models, all equipped with inverter technology to ensure precise and consistent cooking results.
• In July 2023, DEKA, a subsidiary of the El.En. Group, introduced its PRO line of laser and microwave devices at the 25th World Congress of Dermatology in Singapore.

• By Product Type
  • Solid-State Devices
  • Vacuum Electron Devices
• By Application
  • Communication
  • Wireless
  • Broadcast
  • Others
  • Medical
  • Military & Defense
  • Others
• By Band Frequency
  • C-band
  • S-band
  • X-band
  • Ku-band
  • Ka-band