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Cloud Radio Access Network (C-RAN) Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

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  • 112 Pages
  • August 2023
  • Region: Global
  • Mordor Intelligence
  • ID: 4833402
UP TO OFF until Mar 31st 2024
The C-RAN Market size is expected to grow from USD 9.60 billion in 2023 to USD 25.10 billion by 2028, at a CAGR of 21.19% during the forecast period (2023-2028).

The Cloud RAN market is expected to hold potential growth due to the growing industry's need to ensure compliance with corporate and government regulations.

Reduction in charges related to Capital Expenditure (CAPEX) and Operational Expenditure (OPEX) and convenient 4G and 5G accessibility are expected to drive the market's growth.

The growing need for energy-efficient and cost-effective networking solutions and the development of 5G network technologies are driving market expansion. Furthermore, the increasing bandwidth demand is propelling the C-RAN industry forward. Nevertheless, the requirement for a high-capacity fronthaul constrains the market's expansion. Conversely, expanding worldwide internet users and a spike in network connectivity to adopt IoT is expected to give multiple prospects for market expansion throughout the projection period.

The market is expected to grow considerably with the proliferation of intelligent wireless devices and the LTE market's growth. Over the next two to three years, mobile network operators' most pressing issues will be maximizing the value of mobile networks, constructing future-facing mobile access networks, and future service innovation.

The COVID-19 pandemic increased the demand for a cloud radio access network (C-RAN). The use of online services and channels increased due to the introduction of novel coronaviruses. The workforce was driving the demand for video-based conferences, and among other things, online medical consultations have generated a tonne of data flow. The need for seamless, low-latency cloud radio access networks was projected to increase.

Cloud Radio Access Network Market Trends

Rising Demand of 5G Trend Across Various End-user Segment is Driving the Market

As capacity demands driven by growing internet data traffic increase, 5G aims to speed up data communication up to three times as compared to 4G/LTE. The key use case driving the development of 5G is the enhancement of mobile broadband services.

With CloudRAN, the network capabilities of wireless base stations can be more easily opened through virtualized containers. CloudRAN's capability opening function will continue to evolve from simple APIs to complex APIs which are scenario-based and Internetized.

Mobile data transport architectures are evaluated based on agility, time to market, cost-effectiveness, operational & architectural simplicity, expandability, and flexibility.

The market is growing as more offices, stadiums, city squares, and commuter areas with high people density per wireless network node use centralized baseband technology to enhance network performance.

Energy consumption and physical size are also key factors in developing new network architecture, power, and space, as are expensive and scarce resources at base station sites.

Europe Region is Expected to Grow at a Significant Rate

Vodafone will use Samsung's 2G/4G vRAN and O-RAN compliant radio solutions from Germany to conduct extensive Open RAN pilot projects. Vodafone will use Samsung's mature keys in these commercial pilots, which are scheduled to launch in October 2022, to show their superior performance, stability, and dependability. in Europe, the region is expected to experience a significant increase in the number of towers available for co-location.

LTE is well underway, and 5G has slowly begun to roll out which is expected to commercialize by the first half of 2022. As a result, network growth in the next years is poised to center around urban infill capacity and indoor solutions.

With Nokia's help, Plauen will host the first European vendor to try out compatible software in this market and serve as the site for innovative field tests of new Open RAN technology. Additionally, Mavenir will perform live tests on some of its new Open RAN equipment.

In 2018, 4G network coverage was used by 90% of the European population, and is anticipated to reach 93% by 2020. Improved coverage, greater number of available devices at a wider range of price points, and increasing use of music and video streaming services are a few factors driving the adoption of 4G services. This increased demand for better data is likely to augment the deployment of cloud RAN in the region.

Cloud Radio Access Network Industry Overview

The cloud radio access network market is moderately competitive and has a few major players. In terms of market share, some of the players currently dominate the market. However, with the advancement in the 4G & 5G services, new players are increasing their market presence, expanding their business footprint across emerging economies. Some of the key players in the market are Nokia, Cisco, Ericsson, and Intel, among others.

In December 2022, Verizon's vRAN network expansion was supported by critical technologies from Intel. Ericsson Cloud RAN cell site is part of Verizon’s efforts to extend its vRAN leadership position.

In November 2022 - Recently, Qualcomm and Vodafone announced that they would work together to test and create infrastructure solutions based on Qualcomm's Open RAN (O-RAN) devices, the QRU100 5G RAN Platform and the X100 5G RAN Accelerator Card, which is said to be high performing and energy efficient.

Additional Benefits:

  • The market estimate (ME) sheet in Excel format
  • 3 months of analyst support

Table of Contents

1.1 Study Deliverables
1.2 Study Assumptions
1.3 Scope of the Study
4.1 Market Overview
4.2 Introduction to Market Drivers and Restraints
4.3 Market Drivers
4.3.1 Rising Demand of 5G Trend Across Various End-user Segment
4.3.2 Need to Eliminate the Cost of Hardware Equipment Used in 4G-5G Network
4.4 Market Restraints
4.4.1 Scarce Spectrum Availability for Network Expansion When Combined With Regulatory Limits
4.5 Industry Attractiveness - Porter's Five Forces Analysis
4.5.1 Threat of New Entrants
4.5.2 Bargaining Power of Buyers/Consumers
4.5.3 Bargaining Power of Suppliers
4.5.4 Threat of Substitute Products
4.5.5 Intensity of Competitive Rivalry
4.6 Technology Snapshot
4.6.1 Cloud-Virtualization
4.6.2 Centralized-RAN
5.1 By Service
5.1.1 Professional
5.1.2 Managed
5.2 By Network Type
5.2.1 5G
5.2.2 4G
5.2.3 LTE
5.2.4 3G (EDGE)
5.3 Geography
5.3.1 North America United States Canada
5.3.2 Europe United Kingdom Germany Rest of Europe
5.3.3 Asia-Pacific China Japan Rest of Asia-Pacific
5.3.4 Latin America
5.3.5 Middle-East & Africa
6.1 Company Profiles
6.1.1 Cisco System Inc.
6.1.2 Nokia Corporation
6.1.3 Huawei Technologies Co. Ltd.
6.1.4 Telefonaktiebolaget LM Ericsson
6.1.5 Intel Corporation
6.1.6 Fujitsu Limited
6.1.7 Mavenir Systems Inc.
6.1.8 Artiza Networks Inc.

Companies Mentioned

A selection of companies mentioned in this report includes:

  • Cisco System Inc.
  • Nokia Corporation
  • Huawei Technologies Co. Ltd.
  • Telefonaktiebolaget LM Ericsson
  • Intel Corporation
  • Fujitsu Limited
  • Mavenir Systems Inc.
  • Artiza Networks Inc.