According to a recently published report from Dell’Oro Group, revenues for the Mobile Core Network (MCN) market are poised for growth in 2022. The outlook has turned positive, starting in 4Q 2021, as 5G Standalone (SA) commercial launches begin to accelerate.
“The expected growth rate for 2022 is more optimistic than reported last quarter with the commercial deployments of more 5G SA enhanced Mobile Broadband (eMBB) networks,” stated Dave Bolan, Research Director at Dell’Oro Group. “We count 14 commercial 5G SA networks deployed by Communication Service Providers for eMBB services. Five of the 14 5G SA networks went commercial after the close of 3Q 2021 quarter. Europe had a surprising uptick in 3Q 2021 with 5G SA network commercial launches primarily in Germany,” Bolan added.
Additional highlights from the 3Q 2021 Mobile Core Network Report:
- MCN market revenues declined into negative growth year-over-year and quarter-over-quarter.
- The slowdown is attributed to a slowing of the 5G SA network buildouts in China.
- 5G Packet Core revenues for the quarter were spread across only six vendors: Ericsson, Huawei, Mavenir, NEC, Nokia, and ZTE.
13 January 2022 Update (SA=Stand Alone; eMBB=Enhanced Mobile Broadband 5G use case):
The Dell’Oro Group Mobile Core Network Quarterly Report offers complete, in-depth coverage of the market with tables covering manufacturers’ revenue, shipments, and average selling prices for Evolved Packet Core, 5G Packet Core, Policy, Subscriber Data Management, and IMS Core including licenses by Non-NFV and NFV, and by geographic regions. To purchase this report, please contact us at [email protected].
It’s this author’s belief that the 5G SA core network market will be dominated by the hyperscale cloud service providers. In particular, Amazon AWS, Microsoft AZURE, Google Cloud, Oracle Cloud. 5G SA core network enables many hyped capabilities, such as network slicing, MEC, VoNR, automation, virtualization and others.
Please refer to Dave Bolan’s COMMENT in the box below this article. You can download a free whitepaper from the link there.