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Global RAN revenue to reach $250 Billion



The radio converts digital information into signals that can be transmitted wirelessly and ensures that the transmitted signals are in the right frequency bands and have the right power levels. While it is clear that 5G offers a path to an improved cost per bit, it is imperative to focus on actively developing business cases that deliver a step-change in revenue. It is equally important to have a clear view on what it will take to support 5G transformation including reaching its full potential and the optimal journey to achieve that ambition. Centralized RAN (C-RAN) opened the doors to a centralized management of radio resources, relying on a pool of baseband units in a collocated facility shared between base stations. The new generation of Mobile Networks, is expected to transform end user experience of the networks and significantly further complicate CSPs’ landscape.



The cumulative global radio access network (RAN) revenues are projected to reach quarter-trillion dollars or about $250 billion between 2020-25, driven by 5G New Radio (NR), according to a report from Dell’Oro Group. While 5G NR revenues have accelerated, the Long-Term Evolution (LTE) revenues are on target. At the same time, Private 5G New Radio revenues will exceed $1 billion by 2025 despite Long Term Evolution dominating the private wireless market presently. Even with the market surprising on the upside, it is believed that there is room for expansion over the near term as the early adopters continue to roll out 5G at an extraordinary pace, resulting in a more upbeat 5-year outlook relative to last forecast. The survey further highlighted that the cumulative 2020-2025 base station shipments remain on track to surpass 30 million while global macro and small cell transceiver shipments will reach 0.8 billion during the forecast period.

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