The leading Open RAN suppliers by revenue for the first half of 2023 are Samsung, NEC, Fujitsu, and Rakuten Symphony, according to Dell’Oro Group.
The report did not reveal the Open RAN market share of leading suppliers such as Samsung, NEC, Fujitsu, Rakuten Symphony, and Mavenir.
The vendor landscape within the Open RAN sector has showcased a mixed performance. Numerous Open RAN-focused suppliers are grappling with challenges in contrast to their initial hopes. Notably, NEC experienced a significant improvement in its Open RAN market share between 2022 and the first half of 2023. On the other hand, Mavenir’s Open RAN revenue share witnessed a decline over the same period.
Both Open Radio Access Network (RAN) and Virtualized RAN (vRAN) revenues have experienced a decline, marking the first instance of year-over-year contraction since the firm commenced tracking these cutting-edge architectures back in 2019.
“After a couple of years where Open RAN revenues exceeded expectations and advanced at an accelerated pace, the current slowdown doesn’t come as a surprise,” Stefan Pongratz, Vice President at Dell’Oro Group, said.
The projections for 2023 were cautiously optimistic, taking into account the need for early majority operators to navigate more challenging comparisons with the initial adopters who fueled the initial wave of Open RAN. The current scenario aligns with this projection, as growth decelerated in the first quarter and declined in the second.
In Europe, Open RAN revenues have shown a positive trajectory. However, this growth was insufficient to offset the declines witnessed in the Asia Pacific and North America regions.
Despite the current contraction, Open RAN revenues are still anticipated to contribute to approximately 5 to 10 percent of the overall 2023 RAN market.
In conclusion, the recent report from Dell’Oro Group sheds light on a significant shift in the Open RAN and vRAN market dynamics. While the initial excitement and rapid growth have witnessed a temporary slowdown, the industry experts remain cautiously optimistic about the future prospects of these transformative technologies.