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New Architecture, Cloud Computing, Open Interfaces, and Increased Competition Facilitate Transformational Growth
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The fifth generation of wireless technology (5G) has arrived and is being rolled out globally. 5G is possible because of the contributions of previous generations of wireless communications and a number of disruptive technologies, each of which must be understood at least at a high level to paint a full picture of the industry. This report centers on open and virtual radio access network (RAN); while this subject impacts all generations of cellular technologies, the primary focus will remain on 5G.A communication service provider (CSP) network requires many RANs to cover a city, state, or region compared with relatively few core networks. Frost & Sullivan’s research indicates that the RAN made up approximately 68% of CSP expenditures on infrastructure in 2020 versus only 32% for transport and core networks combined. The percentage of RAN spend is projected to increase in 2025. Prior to the open and virtual RAN movement, 5 global suppliers (in alphabetical order Ericsson, Huawei, Nokia, Samsung, and ZTE) accounted for more than 90% of the RAN market. Competition leads to innovation AND lower prices, which is a primary driver for key members of the CSP community in the O-RAN Alliance. Lowering costs is important to CSPs because RAN expenses account for the largest percentage of their network cost. However, Frost & Sullivan believes that additional innovation resulting from a higher level of competition will return bigger dividends over the long term. Innovations have already come out of the O-RAN Alliance in their proposed architectural changes to the RAN that build upon the 3GPP standards. Some of these innovations are described in this study.Author: Troy Morley
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Asia-pacific Mobile Services Growth Opportunities
renewable energy market
power electronics market
smart lighting market
activated carbon market
electric car market
plastic waste management market
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