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vRAN Market By Component (Radio Unit, Distributed Unit (DU), Central Unit (CU), Others (Cables, Switches, etc.) By Communication Infrastructure (Small Cell, Macro Cell) By Connectivity (2G, 3G, 4G/LTE, 5G) By End User (Telecommunication, Government & Defense) - Growth, Future Prospects & Competitive Analysis, 2016 - 2028

About this report

The global vRAN market report explores the critical analysis of the vRAN industry using key parameters. The report consists of investment strategies, the need for investments in the vRAN industry, and the multiple benefits for investors. Importantly, this report sets out major changes in the global technical regulations for the vRAN industry and how economic and non-economic barriers are helping the market grow. Moreover, the report analyses the global, regional, and country-level historic and forecasted market size. The report also provides a comprehensive analysis of key investment propositions, demand and supply gap, competitors positioning, STAR analysis, SRC analysis, and Tornado analysis. Key technological developments and other analyses include Porter's five forces analysis, PESTEL analysis, value chain analysis, etc.

REPORT ATTRIBUTE DETAILS

vRAN Market by Volume

Yes

Market by Value

Yes

Market, Tornado Analysis

Yes

Market, STAR Analysis

Yes

Market, SRC Analysis

Yes

Market, Import-Export Data

Yes (On Demand)

Market Pricing Analysis

Yes (On Demand)

Market Segment Analysis

By Component (Radio Unit, Distributed Unit (DU), Central Unit (CU), Others (Cables, Switches, etc.))

By Communication Infrastructure (Small Cell and Macro Cell)

By Connectivity (2G, 3G, 4G/LTE, and 5G)

By End User (Telecommunication,Government & Defense, Commercial, and Others)

Market, Regional Analysis

North America (the US and Canada)

Europe (Germany, UK, France, Italy, Spain, and the Rest of Europe)

Asia Pacific (China, India, Japan, South Korea, South East Asia, and the Rest of Asia Pacific)

Latin America (Brazil, Mexico, and the Rest of Latin America)

Middle East and Africa (GCC Countries, South Africa, and the Rest of the Middle East and Africa)

Market Key Companies

Cisco Systems Inc, Fujitsu Limited, Huawei Technologies Co. Ltd, NEC Corporation, Samsung Electronics Co. Ltd, Verizon Communications, Ericsson Inc, Nokia Corporation, Red Hat Inc, Hewlett Packard Enterprise Development LP, Intel Corporation, Juniper Networks Inc, Microchip Technology Inc, MTI Mobile, Qorvo Inc, Mavenir Systems, Qualcomm Technologies Inc, Quortus Limited, Radisys Corporation, and ZTE Corporation

Market Competitive Landscape

Market Share Analysis

Competitive Benchmarking

Key Players Market Positioning

Geographical Presence Analysis

Major Strategies Adopted

 

Key Highlights of the report

How are the major segments performing in the vRAN Market?

  • The radio unit component segment led the global market in 2021 due to the rapid adoption of radio technology and architecture to achieve 5G requirements.
  • In 2021, small-cell communication infrastructure accounted for the largest global market share. The factors that contribute to its attractiveness include cost-effectiveness and ease of implementation.
  • The 5G connectivity segment is anticipated to grow faster during the forecast period owing to the growing demand for wireless broadband services, which necessitate fast and high-capacity networks. The advanced development of 5G connectivity technology has been initiated to facilitate the provision of high-speed data transmission.
  • The telecommunications end-user segment has highest revenue share in the global market in 2021. Telecommunications service providers and mobile phone operators are investing significantly to bring cloud computing and mobile computing closer to base stations. This enables mobile phone companies and CSPs to virtualize base station operations like mobility management.

Which region dominated the vRAN market?

North America dominated the global vRAN market in 2021. Enhanced automation in various industries, internet of things (IoT) adoption, cellular M2M interconnection, and high demand for on-demand video streaming drive the regional vRAN market. As internet penetration rises, massive data traffic from various cellular and IoT devices is produced. As a result, radio access networks are being adopted more frequently to manage data traffic better and increase network speed. The government's encouraging initiatives to commercialize 5G networks drive regional vRAN market demand.

How is US Market Performing in the vRAN Market?

In 2021, the United States dominated the North American vRAN market. The US Fiber Broadband Association promotes the installation of fiber optic cable in homes and businesses. The North American 5G industry is anticipated to be driven by the deployment of fiber, which will also indirectly drive demand for the deployment of vRAN, which gives service providers more flexible options at a lower cost. The US market is primarily driven by carriers' plans to deploy 5G wireless technology, which calls for fiber backhaul. Small- or macro-cell deployment is heavily influenced by the network operator, the cost of deployment, and the local population. Small cell is expected to dominate the vRAN market in the United States. Small-cell and macro-cell deployment will increase exponentially as 5G becomes more widely available in the country.

What is the competitive environment of the vRAN market?

The virtualized radio access network (vRAN) market has a few significant players and is moderately competitive globally. However, as 4G and 5G services advance, more players are entering the market and growing their market share, which allows them to expand their business into emerging economies. Companies place a high value on partnerships to gain traction for their solutions and innovations. The business enters partnerships and acquisitions to increase its geographic presence in key markets. For instance, Altiostar and TIM collaborated on LTE-Advanced in February 2019 from Altiostar on Vimeo. The advanced virtual ran architecture gets carriers ready for 5G by allowing them to increase capacity using commercially available hardware and maximize spectrum resources. Moreover, Cisco Systems Inc announced plans in 2019 to implement a virtualized radio access network automation strategy for VodafoneZiggo using the Cisco SON platform.

Executive Summary

What technical developments are being developed in the global vRAN market?

Wireless networking is becoming increasingly important across all industries to meet future challenges in this technological era. Widespread industry demands for expanding business operations include faster networking data rates, lower latencies, and higher bandwidth. Private LTE and 5G networking support these requirements. Increased R&D efforts and product innovation are anticipated benefits of the investment in 5G infrastructure. The next big thing in mobile networks is the virtualized radio access network (vRAN), which is the process of virtualizing network function in addition to being more user-friendly and economical. VRAN technology would also pave the way for 5G technology, as there is an increasing demand for multipurpose applications from a single source. In addition, many industry players, including Verizon, Nokia, Qualcomm Technologies Inc, and Cisco Systems Inc, are heavily focused on offering vRAN solutions for private 5G networks that assist clients in converting their current legacy network infrastructure into the next-generation 5G network. For instance, Fujitsu declared in February 2022 that it had created a new software virtualized radio access network (vRAN) technology with support for 5G Standalone (SA) and would make it available for testing by telecom companies in March 2022. The goal of Fujitsu's global deployment of this vRAN technology is to provide strong and cutting-edge support to telecommunications carriers striving to lessen their carbon footprint and ultimately aid in the creation of a more sustainable society.

vran-market

Which are the key investments by the vRAN market players?

Most current vRAN investments are concentrated on virtualized small cells for focused greenfield deployments, primarily in environments with dense urban, enterprise, and public venue populations. Mobile operators can quickly assess the advantages of vRAN through the virtualization of small cells with minimal impact on their larger microcell RAN infrastructure. Market participants invest in and collaborate with other technology firms in the ecosystem to develop innovative vRAN solutions. For instance, Altiostar announced in February 2019 that Rakuten Inc had made a strategic investment in the company to grow its vRAN solutions for 4G and 5G technology. Likewise, NEC Corporation and Rakuten Mobile collaborated in June 2019 to develop a 3.7 GHz frequency-based massive MIMO 5G antenna radio unit that facilitates highly secure cloud-native 5G networks. This partnership assisted the business in creating a 5G-based accessible vRAN architecture in Japan.

Some major vRAN market players are Cisco Systems Inc, Fujitsu Limited, Huawei Technologies Co. Ltd, NEC Corporation, Verizon Communications, Ericsson Inc, Nokia Corporation, Intel Corporation, Juniper Networks Inc, Hewlett Packard Enterprise Development LP, Microchip Technology Inc, Qorvo Inc, Mavenir Systems, Samsung Electronics Co. Ltd, MTI Mobile, Qualcomm Technologies Inc, Radisys Corporation, Quortus Limited, Red Hat Inc, and ZTE Corporation.

What are the Major Driving Factors for the vRAN Market?

The increasing number of cellular devices generates an enormous amount of data traffic, allowing telecom operators to deploy advanced virtualized radio access network services to handle this massive data traffic. The growing use of Network Function Virtualization (NFV) and Software Defined Networking (SDN) in network infrastructure is also assisting in the growth of the global RAN market. The government's supportive initiatives to upgrade telecom infrastructure are also contributing to the rising demand for virtualized radio access network solutions. The commercial exploitation of the next-generation 5G network enables telecom companies to deploy advanced network solutions that support the 5G network. The increased speed and bandwidth capabilities of the 5G network necessitate the use of advanced networking solutions to provide extremely reliable communication services. The leading telecommunication solution providers are strategically collaborating with other technology firms to create advanced virtualized radio access network solutions to enable 5G technology.

What are the Major Risks for the vRAN Market?

The vRAN market is anticipated to be constrained by the mobile network's growing lackluster backhaul connectivity. Backhaul connectivity is frequently used in telecommunications to send a signal from a distant site or network to another site, typically for a central one. Mobile networks have poor connectivity in small cell networks, adversely affecting data transmission speed. Growing data traffic through small cells is a major cause of bad data management and poses problems for data security. As a result, poor backhaul connectivity and the data management process are expected to constrain the market over the forecast period.

Which is the key communication infrastructure in the vRAN market?

The small cell communication infrastructure category had a major share due to its low cost and ease of deployment. Mobile operators encounter a challenge when offering services with high data transfer rates. Mobile network operators primarily concentrate on expanding their networks to achieve this. Operators are creating and deploying small cells on a larger scale and faster rate to meet these needs. Demand for internet services is expected to rise due to increased video streaming, photo sharing, and online mobile application use. Small cells assist in increasing network capacity, so their adoption would accelerate to meet consumer demand. A further factor anticipated to contribute to the segment's growth is the increasing investment mobile operators make for efficient communication infrastructure deployment.

How is the vRAN market performing in regions?

The North American market is expected to had major share than other regional markets during the forecast period. North America is the largest market for vRAN deployment since the United States is one of the major countries making strong efforts to deploy 5G in the coming years to improve the performance of IoT, autonomous vehicles, and other advanced technology. The regional telecommunication network providers are investing heavily and running trials of the vRAN architecture in important U.S. cities to lay the groundwork for 5G.

Asia Pacific is expected to witness growth with the highest CAGR during 2022-2028. The commercialization of 5G in nations like China, India, Japan, and South Korea is expected to be aided by factors like the expanding deployment of vRAN architecture, which is anticipated to fuel growth. Moreover, South Korean mobile carriers and service providers declared in April 2019 that they would share the cost of developing a 5G infrastructure. The South Korean government also helps these network providers offer 5G technology early in its commercialization.

What is the regulatory landscape for the vRAN market?

Government initiatives supporting telecom infrastructure development also aid the growing demand for virtualized radio access network solutions. Software vRAN architectures are in almost every market, including telecommunications, government, and defense. In the United States, vRAN is gaining traction to improve network performance for all users within the radio range. Moreover, the federal commissions or governments of the United States work with well-known players like Vodafone Group PLC and Telefonica S.A., among others, to develop the vRAN critical architecture. The network ecosystem is transforming due to the rising demand for mobile data requirements and the introduction of 5G technologies. In addition, the deployment of vRAN is anticipated to be greatly influenced by the aggressive measures taken by governments and network operators in various regions to deploy 5G effectively in the coming years.

What is the Market Size of vRAN regarding value?

The global vRAN market is anticipated to grow at a substantial CAGR of 18.5% in the upcoming years. The global vRAN industry is estimated to be worth USD 1849.6 million in 2021 and is expected to be worth USD 5121.39 million by 2028.

What are the major players planning for the future of the vRAN market?

Companies are investing in network infrastructure to deliver dependable network coverage and data transformation services in response to rising customer demand for network coverage. Major companies are looking for a way to increase their return on investment by investing in communications infrastructure for network coverage. vRAN is a low-cost solution for network service providers to manage data traffic while minimizing operational and capital costs. vRAN assists service providers lower CAPEX and OPEX while improving packet data transfer quality.

Segmentation of Global vRAN Market -

Global vRAN Market – By Component

  • Radio Unit
  • Distributed Unit (DU)
  • Central Unit (CU)
  • Others (Cables, Switches, etc.)

Global vRAN Market – By Communication Infrastructure

  • Small Cell
  • Macro Cell

Global vRAN Market – By Connectivity

  • 2G
  • 3G
  • 4G/LTE
  • 5G

Global vRAN Market – By End User

  • Telecommunication
  • Government & Defense
  • Commercial
  • Others

Global vRAN Market – By Region

  • North America
    • US
    • Canada
  • Europe
    • Germany
    • France
    • UK.
    • Italy
    • Spain
    • Rest of Europe
  • Asia Pacific
    • China
    • Japan
    • India
    • South Korea
    • South-east Asia
    • Rest of Asia Pacific
  • Latin America
    • Brazil
    • Mexico
    • Rest of Latin America
  • Middle East & Africa
    • GCC Countries
    • South Africa
    • Rest of the Middle East and Africa

Frequently asked questions about the global vRAN market

The spread of the Covid-19 pandemic is expected to drive the market demand for virtualized radio access networks (vRAN). The proliferation of Novel Coronavirus has increased the use of online channels and services.

North America accounted for the most heightened share in the global vRAN market.

The virtualized RAN (vRAN) market is anticipated to grow rapidly due to the rising adoption of digital technology, the proliferation of IoT-connected devices, and increasing data traffic.

The radio unit segment had a major share in the global market in 2021.

The 5G segment had a major share in the global market.

vRAN Market Scope

Report Attribute Details
Market Value in 2021 USD 1849.6 million
Market Value in 2028 USD 5121.39 million
CAGR 18.5%
Benchmarking Year 2021
Past data 2016 – 2021
Forecast period 2022 – 2028
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Trusted By
Godaddy
Published Date:  Dec 2022
Category:  Information and Communications Technology
Report ID:   60847
Report Format:   PDF
Pages:   130
Rating:    4.2 (30)
Delivery Time: 24 Hours to 48 Hours   
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