Cell Site Operation and Leasing in the US - Market Research Report (2014-2029)
New York, United States
Last Updated: March 2024
NAICS OD6124Revenue
$48.0bn
Past 5-Year Growth
Profit
$X.Xbn
Employees
30,507
Businesses
2,509
Wages
$X.Xbn
Cell Site Operation and Leasing in the US industry analysis
In the rapidly evolving landscape of cell site operation and leasing, industry operators have found themselves at a pivotal crossroads. The aftermath of the pandemic has reshaped not just societal norms but the very backbone of telecommunications infrastructure, enabling revenue to expand at a CAGR of 0.2% beyond inflation to $48.0 billion in 2024. More than ever, low-income residential areas are becoming focal points for intense bandwidth consumption, weakening the industry's focus on nonresidential zones. This shift demands an agile response, propelling operators to fortify their infrastructure in urban and rural communities to meet the growing appetite for connectivity by major wireless operators.
Trends and Insights
- For the average consumer, a smartphone is the only computer they own. People use smartphones to consume art, browse social media, administer their finances and shop online. All these use cases require fast and reliable data networks that cell site operators must design and maintain.
- In a world increasingly governed by smartphones, cell site operators have leveraged the surge in mobile internet connections. The relentless march towards 5G has propelled these operators to be at the forefront of technological innovation, ensuring the network's backbone keeps pace with the burgeoning demands for faster, more reliable connectivity.
- Robust population presence bolsters operator demand. Regions that house densely populated centers, such as cities, have a higher tendency to use mobile and wireless devices, boosting demand for wireless communication towers.
- Providing competitive market prices enhances internal competition. Operators that offer more-favorable leasing terms create an incentive, particularly for smaller cellular carriers, to sign a lease agreement.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 0.2 % over the past five years, to reach an estimated $48.0bn in 2024.
Trends and Insights
The pandemic prompted a pivot to residential cell usage as offices and shops dialed down
- As the pandemic swept the US, changes in work and lifestyle patterns spurred a marked shift in cell plans and internet usage. The cell site lessors observed a surge in demand for residential bandwidth as remote work and online schooling became the norm.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Rooftop real estate prices skyrocket, pushing mobile carriers toward inventive urban solutions
- As the cost of securing rooftop locations for cell sites in metropolitan areas spirals upward, cell site lessors will increasingly see mobile carriers pivot towards more cost-effective, innovative solutions that bypass the need for towers. Micro-cell networks, utilizing small, strategically placed nodes often in collaboration with public infrastructure, will become the go-to choice.
Biggest companies in the Cell Site Operation and Leasing in the US
| Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
|---|---|---|---|---|
Crown Castle International Corp | 6,480.5 | 1,755.4 | 27.1 | |
American Tower Corporation | 5,444.0 | 2,177.2 | 40.0 | |
SBA Communications | 1,692.4 | 872.9 | 51.6 |
To view the market share and analysis for all 3 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Wireless communication sites, Wireless tower inspection services and Tower installation and support services. Wireless communication sites is the largest segment of the Cell Site Operation and Leasing in the US.
Trends and Insights
Strong growth in smartphone adoption boosts demand for wireless communication sites
- This product segment generates revenue from the leasing of wireless communication towers, also known as cell sites.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Engineering Services in the US
- Dark Fiber Network Operators in the US
Complementors
- Telecommunication Networking Equipment Manufacturing in the US
- Wireless Telecommunications Carriers in the US
International industries
- Transmission Line Construction in Canada
- Heavy Industry and Other Non-Building Construction in New Zealand
- Infrastructure Maintenance Services in the UK
- Utility Project Construction in Ireland
- Power Grid Construction in China
Table of Contents
About this industry
Industry definition
Operators in this industry own, operate, lease and manage wireless communication towers and other infrastructure. This industry owns the real estate and maintains the structure, but does not operate the radio transceivers on the tower.
What's included in this industry?
Leasing of wireless communication sitesWireless tower inspection servicesTower installation and support servicesCompanies
Crown Castle International CorpAmerican Tower CorporationSBA CommunicationsPurchase this report to view all 3 major companies in this industry.
Related Terms
INFRASTRUCTURETENDERINGLTEBROADBAND PCS NARROWBAND PCS BANDWIDTHIndustry Code
NAICS 51821 - Cell Site Operation and Leasing in the US
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
For the average consumer, a smartphone is the only computer they own. People use smartphones to consume art, browse social media, administer their finances and shop online. A...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
In a world increasingly governed by smartphones, cell site operators have leveraged the surge in mobile internet connections. The relentless march towards 5G has propelled th...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2024
- Product innovation level
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Robust population presence bolsters operator demand. Regions that house densely populated centers, such as cities, have a higher tendency to use mobile and wireless devices, ...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each state
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each state in 2024
- Number and share of revenue each state accounts for in 2024
- Number and share of wages each state accounts for in 2024
- Number and share of employees in each state in 2024
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Providing competitive market prices enhances internal competition. Operators that offer more-favorable leasing terms create an incentive, particularly for smaller cellular ca...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
High cost of operations limits growth opportunities. Even as established companies such as Crown Castle International Corp. maintain existing cell sites, the high cost of mai...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Crown Castle International Corp's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of American Tower Corporation's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of SBA Communications's performance by revenue, market share and profit margin from 2018 through 2024
Detailed analysis
- Description and key data for Crown Castle International Corp, and factors influencing its performance in the industry
- Description and key data for American Tower Corporation, and factors influencing its performance in the industry
- Description and key data for SBA Communications, and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Cell site operations has greatly benefited from the growing prevalence of mobile internet connections and broadband connections in the United States. More telecommunications ...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Rental revenue increases as demand for industry services keeps growing. Cell site operators' costs are relatively fixed, helping create steady profit margins.
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Industry Multiples (2017-2022)
- Industry Tax Structure (2017-2022)
- Income Statement (2017-2022)
- Balance Sheet (2017-2022)
- Liquidity Ratios (2017-2022)
- Coverage Ratios (2017-2022)
- Leverage Ratios (2017-2022)
- Operating Ratios (2017-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the US include:
- US Census Bureau
- US Bureau of Labor Statistics
- US International Trade Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Cell Site Operation and Leasing in the US industry in United States in 2024?
The market size of the Cell Site Operation and Leasing in the US industry in United States is $48.0bn in 2024.
How many businesses are there in the Cell Site Operation and Leasing in the US industry in 2024?
There are 2,509 businesses in the Cell Site Operation and Leasing in the US industry in United States, which has declined at a CAGR of 1.4 % between 2019 and 2024.
Has the Cell Site Operation and Leasing in the US industry in United States grown or declined over the past 5 years?
The market size of the Cell Site Operation and Leasing in the US industry in United States has been growing at a CAGR of 0.2 % between 2019 and 2024.
What is the forecast growth of the Cell Site Operation and Leasing in the US industry in United States over the next 5 years?
Over the next five years, the Cell Site Operation and Leasing in the US industry in United States is expected to grow.
What are the biggest companies in the Cell Site Operation and Leasing in the US market in United States?
The biggest companies operating in the Cell Site Operation and Leasing market in United States are Crown Castle International Corp, American Tower Corporation and SBA Communications
What does the Cell Site Operation and Leasing in the US in United States include?
Leasing of wireless communication sites and Wireless tower inspection services are part of the Cell Site Operation and Leasing in the US industry.
Which companies have the highest market share in the Cell Site Operation and Leasing in the US in United States?
The company holding the most market share in United States is Crown Castle International Corp.
How competitive is the Cell Site Operation and Leasing in the US industry in United States?
The level of competition is high and steady in the Cell Site Operation and Leasing in the US industry in United States.
