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Open RAN to Approach Double-Digit RAN Share

REDWOOD CITY, Calif. – September 1, 2020 – According to a recently published report by Dell’Oro Group, the trusted source for market information about the telecommunications, networks, and data center IT industries, the worldwide sales of Virtualized Open RAN technologies are forecasted to grow at double-digit rates over the next five years with cumulative Open RAN investments – including hardware, software, and firmware excluding services – projected to surpass $5 B over the forecast period.

“At a first glance it might appear overly optimistic with a baseline scenario suggesting a new technology, which remains relatively untested and some officials believe would need a decade to get off the ground, would be able to become a billion-dollar market comprising a sizable portion of the overall RAN segment in just half a decade,” said Stefan Pongratz, Vice President and analyst with the Dell’Oro Group. “At the same time, the momentum is improving, and we have adjusted the outlook upward to reflect a confluence of factors including promising results from initial commercial deployments, growing support from the incumbent RAN suppliers, and increased geopolitical uncertainty acting as a catalyst for operators to rethink their supplier strategies,” continued Pongratz.

Additional highlights from the Dell’Oro Group Open RAN 5-Year Forecast Report:

  • Cumulative Virtualized RAN revenues—here defined as the proportion of RAN baseband/compute capex that will utilize general-purpose processors for CU and/or DU—are projected to approach $3 B to 5 B over the next five years.
  • Cumulative Open RAN radio shipments – including macro and small cells – are projected to surpass 1 M over the forecast period.

About the Report

The Dell’Oro Group Open RAN Advanced Research Report offers an overview of the Open RAN and Virtualized RAN potential with a 5-year forecast for the various RAN functions and macro and small cells along with a discussion about the vision, the ecosystem, the market potential, and the risks. To purchase these reports, 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, networks, and data center IT 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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