The Mobile Core Network (MCN) revenue dropped 15 percent in the second-quarter of 2024, according to Dell’Oro Group.
Huawei, Ericsson, Nokia, and ZTE are the leading vendors in the mobile core network market.
The 5G mobile core network revenue has decreased 8 percent in 2Q 2024 despite the implementation of new 5G SA networks.
To date, there are about 58 MNOs that have launched commercial 5G SA eMMB networks. In 2022, there were 21 new 5G SA networks; in 2023, 13; and in the first half of 2024, three. As a result, Dell’Oro Group estimates that the MCN market will decline 11 percent in 2024.
“It strongly suggests that Mobile Network Operators (MNOs) have excess capacity to meet subscriber growth numbers,” said Dave Bolan, Research Director at Dell’Oro Group.
The China region impacted the MCN market’s lower growth rate for the quarter. The Europe, Middle East, and Africa (EMEA) and North American regions were also depressed. Only the Asia Pacific region, excluding China, had a positive growth rate.
The 4G MCN market declined 29 percent. The VoLTE / VoNR market fell 7 percent in 2Q 2024.
Chinese vendors ZTE and Huawei had the lowest MCN growth rates in 2Q 2024, followed by Nokia and Ericsson. These top four vendors accounted for more than 85 percent of the market.
