Connectivity
Moving data reliably between devices, networks and people.
A connection needs to suit the job. A factory sensor may send small messages for years on one battery, while a video link needs much more capacity and a remote vessel may depend on satellites. Those uses call for different combinations of reach, power consumption, reliability and response time. Speed therefore matters alongside the other conditions the connection must meet.
Suppliers meet those needs with radio modules, antennas, fibre, network equipment and communications services. Some connect a single factory through a private network, while public operators serve many users through shared infrastructure. The common purpose is to get information where it needs to go reliably.
Market size & opportunity
The service side of connectivity accounts for substantial spending: Gartner’s July 2026 forecast puts worldwide communications-services expenditure at US$1.354 trillion in 2026. Antennas and radio chips serve that activity, but their suppliers cannot treat the whole service total as their own market. Their orders depend on operator investment, device production and replacement cycles.
The spread of mobile connections helps explain the scale of that activity. Ericsson’s updated 2026 outlook counts nearly 3.3 billion 5G subscriptions after the second quarter and forecasts 6.4 billion by the end of 2031. These are subscriptions rather than unique people. As more devices connect, networks need to support a wider range of uses, from phones to industrial equipment.
Market outlook
Mobile operator revenue
Worldwide · US$ billion per year
- 2025Study baseline1,190
- 2030Forecast1,360
The chart measures mobile operators’ revenue, not their contribution to GDP. Equipment and component suppliers earn from the part operators spend on their products, rather than from all this revenue.
GSMAForecast published
Recent progress
One way to serve those different needs is to reserve network resources for a particular service, an approach called network slicing. It can help provide more predictable performance in a crowded location, for example. Ericsson’s June 2026 report counted 84 commercial slicing offerings, up from 65 six months earlier, showing how operators are putting this idea into use.
While these 5G services develop, work on 6G is still at an earlier stage. ITU’s timetable accepts proposed radio technologies between February 2027 and February 2029. So the next generation is still being shaped, while today’s networks continue to evolve through upgrades and new services.
Sources
- Gartner · Communications-services spending, July 2026
- Ericsson · Updated mobile subscriptions outlook, 2026
- Ericsson · Mobility Report, June 2026
- ITU · IMT-2030 development timetable
Updated
Research & reports
No European Tech Equities reports have been published on this theme yet.