Hold the phone: Strong overseas competition and a declining dollar tempered revenue growth

The Communication Equipment Manufacturing industry in Canada suffered from declining downstream demand, and it has fallen precipitously over the past five years. A drastically reduced Canadian dollar, combined with the release of the popular Apple iPhone, a strong competitor, stifled industry growth. Despite falling revenue, profit margins have benefited from similarly falling metal input costs and increased geographic specialization, which moved the production of reduced value goods requiring low-skilled workers overseas. Quality innovation, stimulated by increasing demand from wireless telecommunication carriers, is expected to limit further declines during the outlook period...read more.

Industry Statistics & Market Size
Annual Growth 13-18
Forecast Growth 18-23
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • The release of the Apple iPhone, a strong competitor, stifled industry growth
  • Increased competition over the past five years stemmed from China and Mexico
  • Increasing broadband connections is expected to intensify demand for industry products
  • Industry Report - Industry Key Buyers Chapter

    The Communications Equipment Manufacturing industry in Canada has a low level of market share concentration, with the largest major company expected to account for an estimated 3.3% of revenue in 2018. Many industry manufacturers have specialized product lines, unlike the major companies, which produce a broad range of products. Over the past five years, market share concentration has fallen, despite some major acquisitions in the industry, as the industry experiences increasingly fierce competition from manufacturers abroad, and its major player BlackBerry struggles financially. Industry imports have increased an annualized rate of 12.1% and currently account for 95.3% of domestic demand. Con...purchase to read more.

    Additional Insights for the Communications Equipment Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Communications Equipment Manufacturing Industry are

  • Ability to quickly adopt new technology
  • Protection of intellectual property and copyrights
  • Established brand names
  • IBISWorld analysts also discuss how external factors such as Demand from wireless telecommunications carriers and Consumer spending in the Communications Equipment Manufacturing industry impact industry performance..

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    What's in this report

    What is the Communications Equipment Manufacturing Industry?

    Operators in this industry primarily manufacture radio and TV broadcasting, as well as other wireless communications equipment such as antennas, set top boxes, GPS systems, cell phones, satellite uplink technologies and broadcasting equipment. This industry does not include the manufacturing of intercommunications equipment or household audio and video equipment.

    Industry Products
  • Radio station equipment
  • Wireless networking equipment
  • Other communication systems and equipment, including GPS
  • Broadcast, studio and related electronic equipment
  • Industry Activities
  • Transmitting-and-receiving antennas
  • Cable TV transmission and receiving equipment
  • Broadcast equipment (including studio) for radio and TV
  • Cellular telephones
  • Pagers
  • Global positioning system (GPS) equipment
  • Closed circuit TV equipment
  • Space satellite communications equipment
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from wireless telecommunications carriers
  • Consumer spending
  • Total value of world trade
  • Canadian effective exchange rate index
  • Demand from plastics product manufacturing

  • Current Performance
  • Revenue suffers
  • Widening deficit
  • Profit growth
  • Chart: Revenue Growth

  • Industry Outlook
  • Shifting demand
  • Changing structure
  • Trade deficit
  • Table: Communications Equipment Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Communications Equipment Manufacturing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Radio Broadcasting in Canada
  • TV Broadcasting in Canada
  • Cable Networks in Canada
  • Wireless Telecommunications Carriers in Canada

  • Key Selling Industries
  • Computer Manufacturing in Canada
  • Computer Peripheral Manufacturing in Canada
  • Other Plastic Product Manufacturing in Canada
  • Semiconductor & Other Electronic Component Manufacturing in Canada
  • Telecommunications Networking Equipment Manufacturing in Canada

  • Products & Services
  • Radio station equipment
  • Other communication systems and equipment, including GPS
  • Broadcast, studio and related electronic equipment
  • Wireless networking equipment
  • Other
  • Chart: Communications Equipment Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Exports
  • Communication service providers
  • Radio and TV broadcasters
  • Installers, retailers and wholesalers
  • Government agencies
  • Chart: Major Market Segmentation for the Communications Equipment Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Chart: Cost Structure Benchmarking – Sector vs Communications Equipment Manufacturing

  • Basis of Competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Communications Equipment Manufacturing Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Communications Equipment Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Communications Equipment Manufacturing Industry
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Exports (2009-2023)
  • Imports (2009-2023)
  • Wages (2009-2023)
  • Canadian-dollar effective exchange rate index (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Fourth-Generation (4G)
  • Fourth-generation technologies that enable IP-based voice, data and streaming multimedia at higher speeds.
  • Global System For Mobile Communications (Gsm)
  • A digital cellular system, GSM uses narrowband TDMA that permits eight simultaneous calls on the same radio frequency.
  • Long Term Evolution (Lte)
  • A 4G wireless broadband technology developed by the Third Generation Partnership Project (3GPP), an industry trade group.
  • Mobile Internet
  • Internet access service through mobile terminals and handheld computing devices.
  • Mobile Resource Management (Mrm)
  • An industry segment that addresses the need for location awareness and control of assets on the move, including GPS location, cellular data modems and programmable events-based notification firmware.
  • Second-Generation (2G)
  • Second-generation mobile networks utilizing digital wireless technology
  • Third-Generation (3G)
  • Third-generation mobile networks promises increased bandwidth supporting high data rates up to 384 Kbps when a device is stationary or moving at pedestrian speed.
  • Time Division Multiple Access (Tdma)
  • A technology for delivering digital wireless service.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Communications Equipment Manufacturing market research report is a comprehensive guide to market size and growth prospects. Our industry reports offer strategic industry analysis of the factors influencing companies, including new product developments, economic, lifestyle and demographic influences, distribution and supply chain factors and pricing issues. Full analysis accompanies our data forecasts to illustrate how the market responds to emerging industry trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Communications Equipment Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Communications Equipment Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Communications Equipment Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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