Worldwide RAN to Decline at a 2 Percent CAGR
over Next Five Years
REDWOOD
CITY, Calif., July 24,
2024 /PRNewswire/ -- According to a newly
published forecast report by Dell'Oro Group, the trusted
source for market information about the telecommunications,
security, networks, and data center industries, Radio Access
Network (RAN) market conditions remain challenging for the broader
mobile infrastructure and RAN markets. Following the 40 to 50
percent increase between 2017 and 2021, the RAN market is now
declining, and these trends are expected to prevail throughout the
forecast period (2024-2028). However, the pace of the decline
should moderate somewhat after 2024.
"It is not a surprise that there is rain after sunshine," said
Stefan Pongratz, Vice President for
RAN market research at Dell'Oro Group. "In addition to MBB-based
coverage-related challenges, this disconnect between mobile data
traffic growth and the capacity boost provided by the mid-band,
taken together with continued monetization uncertainty, is clearly
weighing on the market," continued Pongratz.
Additional highlights from the Mobile RAN 5-Year July 2024 Forecast Report:
- Worldwide RAN revenues are projected to decline at a 2 percent
CAGR over the next five years, as continued 5G investments will be
offset by rapidly declining LTE revenues.
- The Asia Pacific region is
expected to lead the decline, while easier comparisons following
steep contractions in 2023 will improve the growth prospects in the
North American region. Even with some recovery, North American RAN
revenues are expected to remain significantly lower relative to the
peak in 2022.
- 5G-Advanced positions remain unchanged. The technology will
play an essential role in the broader 5G journey. However,
5G-Advanced is not expected to fuel another major capex cycle.
Instead, operators will gradually transition their spending from 5G
towards 5G-Advanced within their confined capex budgets.
- RAN segments that are expected to grow over the next five years
include 5G NR, FWA, mmWave, Open RAN, vRAN, private wireless, and
small cells.
About the Report
Dell'Oro Group's Mobile RAN 5-Year
Forecast Report offers a complete overview of the RAN market by
region – North America,
Europe, Middle East & Africa, Asia
Pacific, China, and
Caribbean & Latin America, with tables covering
manufacturers' revenue and unit shipments for 5G NR, 5G NR Sub 7
GHz, 5G NR mmW and LTE base stations. The report also covers Open
RAN, Virtualized RAN, small cells, and Massive MIMO. To purchase
this report, please contact us by email at dgsales@delloro.com.
About Dell'Oro Group
Dell'Oro Group is a market
research firm that specializes in strategic competitive analysis in
the telecommunications, security, enterprise networks, and data
center infrastructure markets. Our firm provides in-depth
quantitative data and qualitative analysis to facilitate critical,
fact-based business decisions. For more information, contact
Dell'Oro Group at +1.650.622.9400 or visit www.delloro.com.
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SOURCE Dell'Oro Group