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Open RAN pace beating expectations

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Open RAN continues to move at a faster pace than expected, with its revenues more than doubling on a year-on-year basis according to a recently published report from Dell’Oro Group.

The top 4 Open RAN revenue suppliers for the Q1 2022 – Q3 2022 period include Samsung, Fujitsu NEC and Mavenir.

Trials are on the rise globally, however, North America and the Asia Pacific regions remain dominant in terms of commercial revenue mix over the period, accounting for more than 95% of the market.

More than 80% of the year-to-date growth is driven by the North American region, supported by large scale non-Massive MIMO and Massive MIMO macro deployments.

“While commercial Open RAN revenues continue to surprise on the upside, the underlying message that we have communicated now for some time now has not changed and remains mixed,” said Stefan Pongratz, vice president of the Dell’Oro Group.

“Early adopters are embracing the movement towards more openness but at the same time, there is more uncertainty when it comes to the early majority operator and the implications for the broader RAN supplier landscape now with non-multi vendor deployments driving a significant portion of the year-to-date Open RAN market.”

The report indicates that the rise of Open RAN has so far had a limited impact on the broader RAN market concentration.

The data contained in the report suggested that the collective RAN share of the top 5 RAN suppliers (Huawei, Ericsson, Nokia, ZTE and Samsung) declined by less than one percentage point between 2021 and this year.

Open RAN is now projected to account for between 6% to 10% of the RAN market in 2023.