“The China region had a positive Y/Y growth rate for the quarter, but it was not enough to offset the decline in the rest of the market, with the global market declining Y/Y,” stated Dave Bolan, Research Director at Dell’Oro Group.

“The main culprit for this market revenue decline was the lack of component supply needed to make finished goods,” said Jimmy Yu, Vice President at Dell’Oro Group. “Optical vendors have a growing amount of backlog due to higher demand for DWDM equipment but are not able to deliver completed systems when they are short on one component or two…

“After four years of extraordinary growth that catapulted the RAN market to record levels in 2021, the RAN market is now entering a new phase,” said Stefan Pongratz,  Vice President at Dell’Oro Group. “Even with 5G still increasing at a healthy pace, comparisons are more challenging and the implication for the broader RAN market…

“5G network builds are expected to further increase the demand for Microwave Transmission equipment,” stated Jimmy Yu, Vice President at Dell’Oro Group.