“The conversation and the overall attitude towards Open RAN has clearly changed over the past six months,” said Stefan Pongratz, Vice President and analyst with the Dell’Oro Group. “It is no longer a question if Open RAN will happen and the question now is more on the timing and the scope,” continued Pongratz.
Dell’Oro Group, the trusted source for market information about the telecommunications, networks, and data center IT industries, is pleased to announce the appointment of Mr. Matthias Machowinski to the role of Senior Research Director, Wireless LAN, effective immediately. With two decades of experience in communications and networking technology research and advisory services, Mr. Machowinski has a deep understanding of the enterprise network—both wireless and wireline. At Dell’Oro Group, Mr. Machowinski will lead the Wireless LAN research program, which includes enterprise-class Wi-Fi infrastructure, management solutions and mobility, and expand Dell’Oro Group’s research on network automation and subscription-based offerings.
“The pandemic caused some delays in SD-WAN deployments in 2020, but the underlying demand drivers for modernizing WAN infrastructures remains strong,” said Shin Umeda, Vice President at Dell’Oro Group.
“The pandemic has accelerated enterprise transformation and increased the attention on web app security and remote user access,” said Mauricio Sanchez, Research Director, Network Security and Data Center Appliances.
The major U.S. Cloud service providers have entered a digestion cycle and have slowed the purchases of servers and other data center equipment. However, we predict this digestion cycle to be short-lived, and capex growth will return to double-digit growth as soon as 1Q 2021,” said Baron Fung, Research Director at Dell’Oro Group.
The RAN market also surprised on the upside in Europe, with revenues increasing at the fastest pace in seven years across the continent, he said. “We attribute the stronger-than-expected results to a confluence of factors,” he told Fierce. “First and foremost, we underestimated the magnitude and depth of the 5G rollouts, including both sub-6 GHz wide-band and narrow-band 5G.”
“XDR, as an ultimate consumer of telemetry, is going to be trying to grab intelligence from wherever it can, including SASE solutions,” said Mauricio Sanchez, research director for network security and data center at Dell’Oro Group. “I do see that integration happening, beyond a shadow of a doubt, as these SASE solutions mature.” In other words: the pandemic provided a perfect storm for these two buzzy security sectors to collide.
“We believe the adoption curve for 600 Gb/s-capable line cards entered an inflection point and that it is positioned for rapid growth in 2021,” Dell’Oro analyst Jimmy Yu said. “We believe 800 Gb/s-capable line cards will also increase [in 2021], considering the strong shipments so far with only one manufacturer.”
According to Dell’Oro Group Vice President Stefan Pongratz, “The increased complexity with the various 5G technologies in combination with the shift towards Open RAN will potentially introduce new challenges to CSP operational teams tasked with managing end-to-end performance. Artificial intelligence will play an increasingly important role managing this complexity deliver the quality of experience (QoE) that consumers and enterprises demand from mobile broadband applications and latency-sensitive services.”