REDWOOD CITY, Calif. – May 30, 2017 – According to a recently published report from Dell’Oro Group, the trusted source for market information about the telecommunications, networks, and data center IT industries, the Wireless Packet Core (WPC) market fell to an historic six year low in 1Q17 and the market is forecast to decline for the third consecutive year in 2017.
“With a year-over-year decline of 25 percent the WPC revenues fell to levels not seen since the first quarter of 2011. The industry is in this in-between period between the technology shift from 4G to 5G,” said Dave Bolan, Senior Analyst at Dell’Oro Group. “The 2G/3G Traditional Packet Core market is falling faster than forecasted and the 4G Evolved Packet Core market is not making up the difference. All this will lead to 2017 being the third year in a row of market decline,” Bolan added.
Vendor marker share rankings remained the same in this quarter as the previous quarter, with Ericsson having the top market share followed by Huawei, Nokia, Cisco, and ZTE. These five vendors accounted for 90 percent of the market.
Looking forward, we remain optimistic about the long term potential for the Evolved Packet Core market as LTE has a 23 percent worldwide subscriber penetration, IoT and virtualization are at the threshold of mass implementation, and 5G deployments are on the horizon.
The Dell’Oro Group Wireless Packet Core Quarterly Report offers complete, in-depth coverage of the market with tables covering manufacturers’ revenue, average selling prices and sessions shipped for Traditional Packet Core equipment (GGSN, SGSN, PDSN) and Evolved Packet Core equipment (MME, Serving Gateway / SGW, PDN Gateway / PGW, and PCRF). To purchase this report, contact Matt Dear at +1.650.622.9400 x223 or email Matt@DellOro.com.
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.