5G Radio Access Network Market Size was valued at USD 13.2 Billion in 2022. The 5G Radio Access Network market is projected to grow from USD 15.8 Billion in 2023 to USD 65.6 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 19.50% during the forecast period (2023 - 2032). Rising demand for mobile broadband services and expanding demand for better network coverage, are the key market drivers enhancing the market growth.
Figure 1: 5G Radio Access Network Market Size, 2024-2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
In order to address the growing need for high-speed Internet and extensive network coverage for a variety of future end-use applications, such as autonomous driving, augmented reality, and telemedicine, network carriers are working to expand network coverage. High network availability is required for applications like autonomous driving, along with high speeds and low latency of less than 1 millisecond. Initial LTE network deployments relied on homogenous networks, which are made up of macro base stations that offer basic coverage. The idea of heterogeneous networks, which may be used to optimize performance for the uneven user or traffic distribution, is gaining popularity right now, nonetheless.
By the end of 2017, there were 4.3 billion mobile broadband subscriptions worldwide, growing at an average rate of more than 20% per year in the previous six years. The widespread use of mobile broadband services was made possible by the low cost. In wealthy economies, the average cost of a mobile broadband subscription was 0.7% of GNI (gross national income) per person, compared to 4.3% in underdeveloped nations. As a result, significant efforts are being made to extend internet access through the spread of broadband networks. This is expected to boost the number of 5G mobile broadband customers, which will fuel the market's expansion for radio access networks. Thus, driving the 5G Radio Access Network market revenue.
The 5G Radio Access Network Market segmentation, based on Component includes hardware, software, and services. In 2022, the hardware category dominated the entire market. A few more subcategories of hardware include antennas, radios, baseband devices, and others. Different frequency bands used by the radio access network antenna systems enable higher data throughput, greater coverage, and less interference.
The 5G Radio Access Network Market segmentation, based on Architecture Type, includes CRAN, ORAN, and VRAN. In 2022, the CRAN segment had the majority of the market share. Because of the technological advancements made for optical, wireless, and IT communication systems, the cloud radio access network (CRAN) maintains steady growth in the market. CRAN is an architecture for a centralized and cloud-based radio access network. In order to achieve improved spectrum efficiency, adaptable networks, effective network enhancements, monitoring, upgrades, testing, and maintenance, as well as faster data rates, it uses unique hardware with embedded software.
The 5G Radio Access Network Market segmentation, based on Deployment, includes indoor and outdoor. In 2022, the outdoor category is anticipated to rule. It will expand at a CAGR of 16.8% over the course of the predicted period. The demand for outdoor 5G RAN deployment is being driven by the growing use cases of 5G, including smart factories, manufacturing, industrial robotics, autonomous cars, and smart cities. The market is expanding because to the outdoor segment, which provides enhanced 5G coverage range support for outdoor deployments at public locations including transportation hubs, malls, and stadiums. Users may travel with high-speed data connectivity thanks to the growing use of public and private 5G, which improves call quality and gives them access to real-time traffic information.
Figure 1: 5G Radio Access Network Market, by Deployment, 2022 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
The 5G Radio Access Network Market segmentation, based on End User, includes telecom operators and enterprises. Telecom operators' category is expected to dominate in 2022 owing to growing telecom industry and IT infrastructure.
By Region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. In 2022, the market was dominated by the Asia Pacific. The expansion is due to the presence of numerous firms, including Samsung and Huawei Technologies Co., Ltd., as well as a large number of investments that are anticipated to go toward the construction of automated factories in the area. Additionally, it is anticipated that significant investments to get a 5G spectrum in important nations including South Korea, China, India, Australia, and Japan will contribute to regional growth. Further, China’s 5G Radio Access Network market held the largest market share, and the Indian 5G Radio Access Network market was the fastest growing market in the Asia-Pacific region.
Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: 5G RADIO ACCESS NETWORK MARKET SHARE BY REGION 2022 (%)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe 5G Radio Access Network market accounts for the second-largest market share. Key industry participants are increasingly attracted to Europe because of the region's potential for significant investments and corporate growth. Additionally, quicker connection, robust governmental initiatives, and ongoing projects are needed to support the growing number of devices connected with cutting-edge technologies like the Internet of Things (IoT) and machine-to-machine communication. These factors will support the industry in Europe. Further, the German 5G Radio Access Network market held the largest market share, and the UK 5G Radio Access Network market was the fastest growing market in the European region.
In 2022, North America 5G Radio Access Network market significantly increased its market share. The area has a highly established 5G infrastructure and a sizable research and development base, which will enable it to dominate the global market in terms of revenue throughout the anticipated time. Modern 5G technologies have been implemented more quickly thanks to a solid 5G infrastructure, and considerable government investments in 5G rollouts and deployments have facilitated widespread acceptance of 5G RAN in the United States and Canada. Further, the U.S. 5G Radio Access Network market held the largest market share, and the Canada 5G Radio Access Network market was the fastest growing market in the North America region.
Leading market players are investing heavily in research and development in order to expand their Product lines, which will help the 5G Radio Access Network market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, 5G Radio Access Network industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global 5G Radio Access Network industry to benefit clients and increase the market sector. In recent years, the 5G Radio Access Network industry has offered some of the most significant advantages to medicine. Major players in the 5G Radio Access Network market, including Telefonaktiebolaget LM Ericsson, Qualcomm Technologies, Inc., Nokia, Intel Corporation, Samsung, Verizon, Cisco Systems, Inc., Huawei Technologies Co., Ltd., VMware, Inc., and Rakuten Symphony Singapore Pte. Ltd, are attempting to increase market demand by investing in research and development operations.
Elenion Technologies is a vertically integrated semiconductor business that promotes innovation in the design and development of silicon photonics-based chips. Elenion's System-on-Chip solutions are suited for a wide range of telecom, hyperscale communication, and networking applications thanks to their SiPh technology platform and design for services pedigree. Elenion Technologies was purchased by Nokia Corporation in March 2020. With this acquisition, Elenion Technologies hopes to increase its knowledge and create a platform that will improve the optical connection of cloud, 5G, and enterprise networking.
A provider of software and IT infrastructure services is HCL Technologies Ltd (HCL). The business provides a variety of services in the areas of IT infrastructure management, digital process operations, cloud native services, cybersecurity, digital and analytics services, DRYiCE, IoT works, HCL software services, SIAM/XaaS products & advanced services, industry software services, and engineering and R&D services. HCL provides its services to the following industries: banking, finance, manufacturing, telecommunications, retail and consumer packaged goods, media and entertainment, life sciences, insurance, capital markets, oil and gas, mining and natural resources, automotive, chemical and process industries, high-tech, industrial manufacturing, energy and utility, healthcare, travel, transportation, hospitality, and logistics. HCL Technologies (HCL) announced the 5G Open Radio Access Network (O-RAN) lab in India in September 2021. This launch aims to enable stakeholders in the global telecom industry to transition to a 5G network.
In October 2021 A partnership to develop Symware has been announced by Intel Corporation, Juniper Networks, and Rakuten Symphony. It is a carrier-grade Open RAN (Radio Access Network) solution created especially for mobile network operators to update radio cell sites by utilizing the most recent cloud-native architecture.
In August 2020 A partnership between Intel Corporation and VMware Inc. has been announced. In order to accelerate the rollout of both 5G and LTE networks, this cooperation aims to integrate a software platform designed for virtualized Radio Access Networks (RAN).
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 13.2 Billion |
| Market Size 2023 | USD 15.8 Billion |
| Market Size 2032 | USD 65.6 Billion |
| Compound Annual Growth Rate (CAGR) | 19.50% (2023-2032) |
| Base Year | 2022 |
| Market Forecast Period | 2023-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Component, Architecture Type, Deployment, End User, and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The U.S., Canada, German, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | Telefonaktiebolaget LM Ericsson, Qualcomm Technologies, Inc., Nokia, Intel Corporation, Samsung, Verizon, Cisco Systems, Inc., Huawei Technologies Co., Ltd., VMware, Inc., and Rakuten Symphony Singapore Pte. Ltd |
| Key Market Opportunities | Growth in network densification |
| Key Market Dynamics | Growing demand for improved network coverage and increasing demand for mobile broadband services |
5G Radio Access Network Market Highlights:
Frequently Asked Questions (FAQ) :
The 5G Radio Access Network Market size was valued at USD 13.2 Billion in 2022.
The global market is projected to grow at a CAGR of 19.50% during the forecast period, 2023-2032.
Asia Pacific had the largest share in the global market
The key players in the market are Telefonaktiebolaget LM Ericsson, Qualcomm Technologies, Inc., Nokia, Intel Corporation, Samsung, Verizon, Cisco Systems, Inc., Huawei Technologies Co., Ltd., VMware, Inc., and Rakuten Symphony Singapore Pte. Ltd.
The Hardware 5G Radio Access Network Component dominated the market in 2022.
The CRAN Architecture Type had the largest share in the global market.
Team Lead - Research she holds an experience of about 6+ years in market research and business consulting, working under the spectrum of information communication technology, telecommunications and semiconductor domains. aarti conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. her expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc.
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