Nigeria has been cited as a key growth frontier market for electronic test equipment vendors as traditional market South Africa continues to experience economic slowdown.
A study by research firm Frost & Sullivan notes that fast developing countries like Nigeria and Ghana offers electronic test equipment vendors great market potentials compared to South Africa.
This comes at a time when revenues in the industry are anticipated to nearly double from $28.3 million to $47.5 million over the next five years.
“The poor economic condition and unstable currency of South Africa, a trading partner to several neighbouring sub-Saharan countries, is delaying projects and slowing down the growth of the electronic test equipment market in all of these countries,” observes the study on the African Electronic Test Equipment Market.
Due to this fact, Nigeria and some other new markets springing up across the continent will be key drivers of strong demand for electronic test equipment.
“Suppliers of testing equipment must also constantly make end users aware of the latest technologies in the test and measurement industry to strengthen their market position across Africa,” said Janani Balasundar, Frost & Sullivan Measurement & Instrumentation Research Analyst.
He added that efforts to widen network coverage across Africa and upgrade 2G and 3G networks to 4G in South Africa is driving the demand for electronic test equipment in the telecoms sector.
Telecoms operators are increasingly looking for spectrum analysers to test and validate the mobile networks to improve the quality of their service, as signal strength in Africa is very poor.
The study covers oscilloscopes, spectrum analysers, network analysers, millimetres, signal generators, power meters, electronic counters, logic analysers, and arbitrary waveform generators.
Furthermore, security investments in the aerospace and defence industry – the largest end user of spectrum analysers for frequency-monitoring applications, network analysers, signal generators, and power meters – are growing the market.
Heavy infrastructural investments in other industries are also fuelling the uptake of millimetres and boosting prospects for electronic test equipment manufacturers.