Thematic Intelligence: Telecom Infrastructure Sector Scorecard Q2 2024 Update

Thematic Intelligence: Telecom Infrastructure Sector Scorecard Q2 2024 Update

Summary

The thematic screen of GlobalData’s telecom infrastructure sector scorecard is led by global vendors that score well in the themes related to cloud computing (e.g., programmable infrastructure, edge computing, private networks), 5G, and artificial intelligence (AI). The leaders include US network vendor Cisco, European radio access network (RAN) specialists Nokia and Ericsson, and innovative new entrants such as Mavenir and Rakuten, the latter of which is reaping the benefits of acquiring Open RAN vendor Altiostar.

Key Highlights

The trade dispute between the US and China has not escalated further since our last update. Indications at the end of 2023 that China may be starting to make progress on domestic production of advanced semiconductors remain unconfirmed. Therefore, until confirmed, the leading Chinese vendors, Huawei and ZTE, have weaker thematic scores than their US counterparts.

In addition to the ongoing damage from the 2019 bans on their use in the national telecom infrastructure of the US and several of its allies, the more recent US bans on AI chips and advanced semiconductor manufacturing technologies are now hurting Chinese companies’ AI prospects, particularly their use of AI technologies in networking enhancements. While less critical, Chinese retaliatory bans on US component suppliers-such as Micron last year and Intel and AMD in the public sector earlier this year-are unlikely to help the telecom infrastructure supply chain.

Scope

• This sector scorecard provides a top-down, comprehensive outlook for the key players in the telecom infrastructure sector over the next two years, based on the key themes set to transform their industry landscape.

• Companies that invest in the right themes become success stories. Those that miss the important themes in their industry end up as failures.
• GlobalData’s thematic research ecosystem is a single, integrated global research platform that provides an easy-to-use framework for tracking all themes across all companies in all sectors. It has a proven track record of identifying the important themes early, enabling companies to make the right investments ahead of the competition, and secure that all-important competitive advantage.
• At GlobalData, we have developed a unique thematic methodology for ranking all major companies in all major sectors based on their relative strength in the big themes that are impacting their industries.
• Our thematic engine tags over 180 million data items across six alternative data sets-patents, jobs, deals, filings, social media, and news-to themes. The vast datasets within our thematic engine help our analysts to produce sector scorecards that identify the companies best placed to succeed in a future filled with multiple disruptive threats.