We just returned from MWC after a couple of intense days of meetings. RAN might not be the fastest growing market but from a technology perspective, the pace of change simply remains impressive and the MWC is a great event to witness the progress. In this blog, we want to point out a few RAN-related observations that could potentially impact the RAN forecast or vendor dynamics.
Preliminary findings suggest Massive MIMO RAN revenues reached new record levels in 2022. At the same time, year-over-year comparisons are becoming more challenging and the implications are that growth is slowing. With Massive MIMO revenues expanding at a low-single-digit rate in 2022, the timing is right to review market status and near-term expectations.
The market conditions will be dramatically different in 2023 compared to the prior year, as supply chains normalize, and demand softens with mounting economic uncertainties. We anticipate the market to maintain near-term growth fueled by backlogged shipments and the current cloud expansion cycle before decelerating through most of 2023. We identify some key trends below that will shape 2023.
Even without the benefit of having finalized fourth quarter numbers, all signs—both quantitative and qualitative—point to another year of spending increases on broadband equipment in 2023, albeit nowhere near the double-digit percentage growth we have seen over the last two years. Here are some predictions from Jeff Heynen, Vice President at Dell’Oro Group
Now the big question is what’s next and what does that mean for 2023 performance? Should we expect a market pull-back, especially in light of rising macroeconomic uncertainties? And what other trends should we watch in 2023? Here are predictions from Sameh Boujelbene, VP for Ethernet Switch, Campus and Data Center market.
In the last year, we focused on the momentum for 5G Standalone network deployments by MNOs, 5G Mobile Private Networks, and 5G Workloads moving to the Public Cloud. As we started the year, the hopes were high for all three of these segments, with much press coverage at the Mobile World Congress (MWC) in Barcelona. As the year unfolded, all three disappointed, not living up to the expectations.