Complexity of Radio Components for 5G a Challenge for Suppliers, Says SA

Complexity of radio components for 5G will lead to higher smartphone prices that could impede 5G, Strategy Analytics reported Thursday. New sub-6 bands for 5G, license shared access, uplink carrier aggregation, MIMO and millimeter wave present “stiff technical challenges” to RF component suppliers Skyworks, Broadcom, Qorvo, Murata, Qualcomm and others, and will require cost-effective solutions to the more complex radio needs of 5G phones and user equipment, said SA. In the past five years, RF systems have transitioned from discrete filters, switches and amplifiers to largely system-in-package RF front-end modules encompassing multiple technologies in a single package, noted analyst Stephen Entwistle. The resulting consolidation among RF front-end component suppliers has benefited Qualcomm as a supplier of the entire radio system, he said. Pressure on suppliers will increase with 5G: Those that can supply more complex and sophisticated modules and SoCs at attractive prices will see a revenue opportunity, he said.