Push-to-Talk (PTT) Market

Push-to-Talk Market Outlook (2022-2032)

The push-to-talk market is expected to garner a market value of US$ 20.01 Bn in 2022, anticipated to register a positive CAGR of 8.2% in the forecast period 2022-2032 and reach a value of US$ 44 Bn.

Anticipated Market Value in 2022	US$ 20.01 Bn
Projected Market Value in 2032	US$ 44 Bn
Global Growth Rate (2022-2032)	8.2% CAGR
Market Share of the United States	40%
Key Providers of Push-to-Talk Services and Software	Azetti Networks GroupTalk Zello Iridium AT&T Simoco Wireless Solutions Motorola Solutions AINA Wireless

As the public safety sector's requirements continue to become more pronounced, the demand for LMR-based and cellular push-to-talk solutions is rising across the world. In addition, the rapid growth in urban management and monitoring, powered by IoT, is expected to propel the adoption of Push-to-Talk products, services, and solutions in the future.

Push-to-Talk Services Demand Analysis 2017-2021 vs. Future Outlook 2022-2032

The push-to-talk market has gained momentum in recent years, as public safety, government and defense sectors increasingly demand push-to-talk technology. The popularity of land mobile radio systems (LMR), proliferation of rugged and ultra-rugged mobile devices, and growing commercial demand from retail, transportation, and other industries have further boosted industry growth during the last 5 years from 2017-2021.

During the historical period, the industry experienced in upswing at a CAGR of 7%. Despite being affected by the COVID-19 pandemic, transportation, logistics, and retail are all improving steadily. Push-to-talk phones and service providers are expected to see growth in the coming years.

According to Fact.MR, the push-to-talk industry will remain highly potential, while more than 20 countries will emerge dominant during the forecast period of 2022 to 2032, with the market expanding at more than 8.2% CAGR.

Why is Demand for Push-to-Talk Services High from the Government & Defense Sector?

Push-to-talk services are widely used in the government and defense sector due to their optimum security & safety levels and ease of communication. The demand from these two sectors is expected to increase exponentially, resulting in revenue gains for push-to-talk service providers.

As stated in a report titled “Government Expenditure on Defence- Statistics Explained”, published by the European Commission (EC) on 3rd March 2021, general government expenditure in the EU on defence amounted to 1.2% of the Gross Domestic Product (GDP) in 2019.

According to the report, defense expenditure accounted for 2.6% of total EU expenditures in 2019 and 2.5% of Eurozone expenditures. Indirectly, this data indicates upcoming opportunities in the push-to-talk market in different regions.

How are Technologies enhancing R&D for Push-to-Talk Devices in the Market?

Many researchers are engaged in developing two-way communication with end-to-end communication between businesses. Major technology and communication companies such as Nokia, Samsung Electronics, Qualcomm, Intel, and Microsoft have standardized the Push-to-talk over Cellular (POC) to support group communication under the Open Mobile Alliance.

Government and private R&D investments have contributed to further driving the market demand for PTToC development. PTT innovations by manufacturers and progress with AI in android mobiles and tablets to further expand the market in end-user applications. Various studies have been conducted that have aimed to improve critical communications across a wide range of industries in the market.

Research groups have recently refocused their attention on the future of critical communications using new technologies such as 4G and 5G. Researchers examined the importance of privacy and security levels associated with push-to-talk devices for various businesses in different parts of the world.

Country-Wise Analysis

How Lucrative is the Growth Scope for Players in the United States PTT Industry?

As the dominant country for push-to-talk services in North America, the United States is in the spotlight. The high development level of the defense and commercial sectors combined with advancements in the manufacturing industry are boosting growth among stakeholders in the country.

According to a report published by Select USA, the U.S. commercial sector is progressing at a fast pace while attracting more investments from governmental and other organizations.

As stated in the report, since its inception, Select USA has facilitated more than US$ 78 billion in investments, while it works with the U.S. and Foreign Commercial Service and entities to strengthen this sector further. This gives an estimation of how high the potential is in the U.S. for push-to-talk industry players. A market share of 40% is projected for the U.S market.

Why is Germany at the Forefront of Europe’s Market for PTT Services & Solutions?

Backed by highly advanced retail, transport, & construction sectors, Germany is the hotspot for push-to-talk solution providers. Increase in demand from public safety and defense sectors is expected to further aid industry growth in Germany.

According to a report titled “Germany- Mobility and Transport”, published by the European Commission (EC), the Germany transportation sector is highly developed and projected to expand further after getting over the effects of the pandemic. As per its report, the European Commission (EC) has recently approved a EUR 300 million German State Aid Scheme for the period of 2020 to 2023 to support innovative projects in the transportation sector.

This, in turn, will create new avenues for push-to-talk service providers over the coming years. According to Fact.MR’s estimates, demand for push-to-talk solutions in Germany will generate around 25% of global revenue.

What’s Augmenting Demand for Push-to-Talk Solutions in China?

China is in the spotlight of the world’s fastest-growing push-to-talk industry - Asia Pacific and is expected to maintain its lead throughout the forecast period. An increase in demand from commercial and government sectors is spearheading growth in China. A market share worth 33% is projected for the Chinese market.

As stated in a report titled “China- Market Overview”, published by the International Trade Administration on 3rd February 2021, China’s commercial sector is evolving fast while being among the topmost industries in the world.

According to the report, in 2019, China was the world’s second-largest economy with a GDP of US$ 14 trillion, while the commercial sector had a significant contribution to it. This indirectly depicts the growth scope for push-to-talk solution providers in the country.

Will India’s Push-to-Talk Market Continue Growing?

India is another lucrative industry for push-to-talk services and is expected to sustain its position during the forecast period. High demand from the government & defense sector and rise in application across diverse commercial sectors are pushing the demand-supply graph for push-to-talk services upward.

According to a report published by Invest India, the National Investment Promotion & Facilitation Agency India commercial sector is highly developed and forecast to expand significantly through 2031.

As per the report, the Indian construction sector contributes nearly 9% of the GDP, while investments of nearly US$ 16.6 billion have taken place in road infrastructure. This explains why stakeholders in the push-to-talk industry are eyeing India. As per Fact.MR, India is likely to accumulate a revenue share worth 39% in the forthcoming years.

Category-Wise Insights

Which Network Type is Spearheading Push-to-Talk Revenue?

“LMR Push-to-Talk service will improve field communications"

Presently, the Land Mobile Radio (LMR) segment is leading the market in terms of network type. There are various advantages of LMR, such as providing the best coverage among wireless communication technologies, high degree of convenience and efficiency for military grade encryption of all voice and data transmissions

As a result, this network type is expected to dominate further over the coming years. Another key segment in terms of network type is cellular, which is further fueling sales. Fact.MR expects the segment to surge at a CAGR of 9% from 2022 to 2032.

How does market demand for PTT services in public safety influence market growth?

Push-to-talk over broadband allows teams to communicate

As mobile technologies of the next generation develop, businesses will be able to meet a great variety of requirements from the public safety community (PS), which are varied and complex. With cellular's success, there has been an excellent economy of scale and a constant wave of innovation.

With a leading market share of over 50%, the push-to-talk market is dominated by public safety & security, which use the technology to improve public safety communications and coordination, improving security and responsiveness at all levels of government and private businesses during times of emergency.

Competitive Landscape

The global push-to-talk market witnesses cut-throat competition among key players. In order to leverage new opportunities, key industry players are launching a wider variety of products.

• In Febraury 2021, Video security company IDIS and radio equipment/solutions provider KT Powertel completed a reverse merger. To complete the deal in March, IDIS will acquire a controlling interest (44.84 percent) in KT Powertel, the radio communications unit of Korean telecom operator KT Corp. KT Powertel specializes in the marketing of radio equipment as well as push-to-talk over cellular (PoC) technologies, which is well matched with IDIS' video surveillance business.
• In April 2021, Motorola Solutions rolled out WAVE PTX in Singapore and Malaysia, a nationwide instant messaging service that allows business and government organizations to improve safety and efficiency. With WAVE PTX, companies are able to connect their various work teams instantly and reliably to keep operations running seamlessly, regardless of network technology.

Key Segments Covered in the Push-to-Talk Industry Survey

• By Network

  • LMR Push-to-Talk Services
  • Cellular Push-to-Talk Services

• By End Use Industry

  • Push-to-Talk Services for Public Safety
  • Push-to-Talk Services for Commercial Use
    • Transportation & Logistics
    • Construction
    • Retail
    • Travel & Hospitality
    • Health
    • Government & Defense
    • Others