Global 5G Radio Access Network Market Size, Share & Trends Analysis Report By Deployment (Outdoor and Indoor), By Component, By Architecture Type (CRAN, ORAN, and VRAN), By End Use, By Regional Outlook and Forecast, 2024 - 2031

Global 5G Radio Access Network Market Size, Share & Trends Analysis Report By Deployment (Outdoor and Indoor), By Component, By Architecture Type (CRAN, ORAN, and VRAN), By End Use, By Regional Outlook and Forecast, 2024 - 2031

The Global 5G Radio Access Network Market size is expected to reach $65.68 billion by 2031, rising at a market growth of 18.0% CAGR during the forecast period.

The North America region witnessed 39% revenue share in this market in 2023. This is largely due to the robust investments in 5G networks by major telecom companies in the U.S., such as Verizon, AT&T, and T-Mobile. These operators focus on enhancing coverage, speed, and reliability to meet the increasing demand for data and connected services. Government initiatives and the growing adoption of 5G-enabled devices in sectors like healthcare and automotive further contribute to the region's market growth.

The major strategies followed by the market participants are Partnership as the key developmental strategy to keep pace with the changing demands of end users. For instance, In August, 2024, Ericsson AB partnered with Turkcell for a successful 5G Cloud RAN trial deployment, enhancing Turkcell’s network flexibility and scalability. This collaboration supports Turkcell’s shift toward Open RAN and strengthens digital transformation efforts in Türkiye. Moreover, In November, 2024, Cisco and NEC Corporation has partnered to resell private 5G core network solutions across Europe, the Middle East, and Africa, combining Cisco's technology with NEC's integration services. This collaboration aims to enhance digital transformation for enterprises, impacting this market.

KBV Cardinal Matrix - 5G Radio Access Network Market Competition Analysis

Based on the Analysis presented in the KBV Cardinal matrix; Samsung Electronics Co., Ltd., Huawei Technologies Co., Ltd., Cisco Systems, Inc., VMware, Inc., and Verizon Communications, Inc. are the forerunners in the 5G Radio Access Network Market. In February, 2024, Samsung and TELUS are collaborating to establish Canada’s first commercial virtualized and Open RAN network, enhancing performance, flexibility, and energy efficiency. This deployment will leverage Samsung's vRAN technology and multi-vendor solutions, marking a significant advancement in Canadian telecommunications. Companies such as Ericsson AB and Nokia Corporation are some of the key innovators in 5G Radio Access Network Market.

Market Growth Factors

The demand for high-speed data and low-latency services is rapidly increasing as industries and consumers rely more on data-intensive applications. Streaming services, video conferencing, cloud computing, and gaming require vast bandwidth and low latency to function optimally. As 5G networks can support speeds up to 100 times faster than 4G and reduce latency to as low as 1 millisecond, they are ideally suited to meet this demand. Thus, increasing demand for high-speed data and low-latency services drives the market's growth.

Additionally, Governments worldwide heavily invest in 5G infrastructure in their digital transformation agendas. Many nations have launched initiatives to promote the adoption of 5G networks, recognizing that they will be pivotal in advancing economic growth and technological innovation. By providing financial support, regulatory incentives, and policy frameworks that encourage the development of 5G networks, governments are fueling the growth of 5G RAN. Hence, government initiatives and investments in 5G infrastructure propel the market's growth.

Market Restraining Factors

However, One of the most significant barriers to the widespread adoption of 5G RAN is the high capital expenditure required for infrastructure deployment. Building a 5G network requires significant investment in new base stations, antennas, fiber optics, other components, and the necessary software and hardware systems for network management. The expense of building out 5G networks, particularly in rural or underserved regions, can be prohibitive for telecom operators, especially those with limited financial resources. Therefore, high capital expenditure for 5G infrastructure deployment hinders market growth.

The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Partnerships, Collaborations & Agreements.

Deployment Outlook

Based on deployment, the 5G radio access network market is categorized into outdoor and indoor. The indoor segment witnessed 39% revenue share in this market in 2023. The increasing demand for high-speed internet and improved connectivity inside buildings, such as offices, shopping malls, stadiums, and airports, is driving the growth of indoor 5G deployments. Indoor networks are necessary for addressing connectivity challenges in dense environments where outdoor signals might not penetrate effectively.

Component Outlook

Based on component, the 5G radio access network market is divided into hardware, software, and services. In 2023, the software segment held 12% revenue share in this market. This segment includes the various software solutions integral to the management, optimization, and performance of 5G networks. These software solutions are crucial in ensuring efficient radio resource management, network automation, and integration of the different components within the RAN architecture.

Architecture Type Outlook

On the basis of architecture type, the 5G radio access network market is segmented into CRAN, ORAN, and VRAN. In 2023, the ORAN segment attained 34% revenue share in this market. ORAN is gaining significant traction as it promotes openness, flexibility, and vendor diversification in the 5G ecosystem. Unlike traditional RAN architectures, ORAN is designed to be interoperable across various vendors' hardware and software components. This reduces dependency on a single vendor and enables telecom operators to build more cost-effective and customized networks.

End Use Outlook

By end use, the 5G radio access network market is divided into telecom operators and enterprises. The enterprises segment procured 20% revenue share in this market in 2023. Enterprises are increasingly adopting 5G technology to support their digital transformation, enhance connectivity for their operations, and leverage advanced applications such as augmented reality, virtual reality, and cloud computing.

Regional Outlook

Region-wise, the 5G radio access network market is analyzed across North America, Europe, Asia Pacific, and LAMEA. In 2023, the Asia Pacific region generated 28% revenue share in this market. This share is driven by the rapid adoption of 5G technology in countries like China, Japan, South Korea, and India. These nations are investing heavily in expanding their 5G networks to support advanced technologies like IoT, smart cities, and autonomous vehicles. Additionally, Asia Pacific has many telecom operators and technology providers, accelerating the growth of 5G infrastructure and services.

Market Competition and Attributes

The 5G Radio Access Network (RAN) market is highly competitive without top key players, as it opens opportunities for smaller and emerging companies to innovate and capture niche markets. Focus shifts to cost-effective solutions, energy efficiency, and localized deployments. Regional players and new entrants can thrive by addressing specific customer needs, driving innovation in open RAN technologies, and leveraging partnerships.

Recent Strategies Deployed in the Market

• Oct-2024: Huawei launched its 5G-AA solutions, enhancing network capabilities for the Mobile AI era. These solutions feature advanced Massive MIMO technology, full-domain site digitalization, and improved network autonomy to meet diverse service demands.
• Oct-2024: Nokia and Bharti Airtel have partnered under the "Green 5G" initiative to enhance energy efficiency in Airtel's 4G/5G radio access network. This collaboration aims to reduce CO2 emissions by 143,413 metric tons annually using AI/ML technologies and advanced software solutions.
• Sep-2024: Nokia has partnered with Spark New Zealand as the primary 5G Radio Access Network provider to enhance its 4G and 5G infrastructure in major cities. This collaboration focuses on streamlining operations and improving network efficiency for better customer experiences.
• Sep-2024: Nokia and Rockwell Automation have partnered to enhance industrial transformation through private 5G standalone networks. This collaboration focuses on improving industrial connectivity, operational efficiency, and security by leveraging Nokia's wireless technologies and Rockwell's automation solutions for real-time industrial control.
• May-2024: Ericsson AB partnered with Dell Technologies to accelerate telecom network cloud transformation through Cloud RAN and Open RAN solutions. This collaboration will help communications service providers (CSPs) modernize their networks with enhanced flexibility, scalability, and cloud-native capabilities.

List of Key Companies Profiled

• Ericsson AB
• Qualcomm Incorporated (Qualcomm Technologies, Inc.)
• Nokia Corporation
• Intel Corporation
• Samsung Electronics Co., Ltd. (Samsung Group)
• Verizon Communications, Inc.
• Cisco Systems, Inc.
• Huawei Technologies Co., Ltd. (Huawei Investment & Holding Co., Ltd.)
• VMware, Inc. (Broadcom Inc.)
• ZTE Corporation

Global 5G Radio Access Network Market Report Segmentation

By Deployment

• Outdoor
• Indoor

By Component

• Hardware
• Antennas

 MIMO

 Beamforming

 Other Antennas Type

• Radio Units
• Baseband Units
• Other Hardware Types
• Software
• Services
• Professional Services
• Managed Services
• Consulting Services

 Planning & Design Services

 Integration & Validation Services

 Deployment Services

 Optimization & Performance Improvement Services

By Architecture Type

• CRAN
• ORAN
• VRAN

By End Use

• Telecom Operators
• Enterprises

By Geography

• North America
• US
• Canada
• Mexico
• Rest of North America
• Europe
• Germany
• UK
• France
• Russia
• Spain
• Italy
• Rest of Europe
• Asia Pacific
• China
• Japan
• India
• South Korea
• Singapore
• Malaysia
• Rest of Asia Pacific
• LAMEA
• Brazil
• Argentina
• UAE
• Saudi Arabia
• South Africa
• Nigeria
• Rest of LAMEA

By Geography

• North America
• US
• Canada
• Mexico
• Rest of North America
• Europe
• Germany
• UK
• France
• Russia
• Spain
• Italy
• Rest of Europe
• Asia Pacific
• China
• Japan
• India
• South Korea
• Singapore
• Malaysia
• Rest of Asia Pacific
• LAMEA
• Brazil
• Argentina
• UAE
• Saudi Arabia
• South Africa
• Nigeria
• Rest of LAMEAThe North America 5G Radio Access Network Market would witness market growth of 17.2% CAGR during the forecast period (2024-2031).

The US market dominated the North America 5G Radio Access Network Market by Country in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $12,787.5 million by 2031. The Canada market is experiencing a CAGR of 17.7% during (2024 - 2031). Additionally, The Mexico market would exhibit a CAGR of 18.1% during (2024 - 2031).

This market represents a critical component in the rapidly evolving telecommunication industry, driven by the ongoing rollout of 5G technology. The transition from 4G to 5G has marked a significant technological leap, promising faster speeds, lower latency, and enhanced connectivity. A key part of this transformation is the network, which enables the connection between user devices and the core network.

Furthermore, the 5G radio access network (RAN) is designed to support various applications across various sectors by providing ultra-high-speed connectivity, low latency, and support for many connected devices. The most visible and widespread application of 5G RAN is the provision of enhanced mobile broadband. With 5G, consumers are experiencing speeds far exceeding those offered by 4G networks, supporting bandwidth-intensive applications such as 4K and 8K video streaming, immersive virtual reality (VR) and augmented reality (AR) experiences, and ultra-high-definition gaming.

Canada's telecommunication sector has seen remarkable advancements, particularly in the accessibility and adoption of high-speed networks. As of 2022, 99.5% of Canadians had access to LTE networks, while 91.3% had access to 5G networks. This widespread availability of advanced network infrastructure underscores Canada's commitment to providing cutting-edge telecommunications services to its population. Furthermore, Mexico's telecommunications sector has consistently outpaced the overall economy's growth, driven by the rapid expansion of mobile telephones, broadband services, and broadcasting. In 2022, Mexico had over 130 million active wireless lines, with more than 113 million having internet access. The number of active wireless lines is expected to surpass 138 million by the end of 2023, indicating a robust growth trajectory. This significant increase in wireless lines and internet accessibility highlights Mexico's growing demand for advanced telecommunication services. Thus, the advancements in the telecommunication sectors of Canada and Mexico are pivotal in driving the growth of this market.

Based on Deployment, the market is segmented into Outdoor and Indoor. Based on Component, the market is segmented into Hardware (Antennas [MIMO, Beamforming, and Other Antennas Type], Radio Units, Baseband Units, and Other Hardware Types), Software, and Services (Professional Services, Managed Services, and Consulting Services [Planning & Design Services, Integration & Validation Services, Deployment Services, and Optimization & Performance Improvement Services]). Based on Architecture Type, the market is segmented into CRAN, ORAN, and VRAN. Based on End Use, the market is segmented into Telecom Operators and Enterprises. Based on countries, the market is segmented into U.S., Mexico, Canada, and Rest of North America.

List of Key Companies Profiled

• Ericsson AB
• Qualcomm Incorporated (Qualcomm Technologies, Inc.)
• Nokia Corporation
• Intel Corporation
• Samsung Electronics Co., Ltd. (Samsung Group)
• Verizon Communications, Inc.
• Cisco Systems, Inc.
• Huawei Technologies Co., Ltd. (Huawei Investment & Holding Co., Ltd.)
• VMware, Inc. (Broadcom Inc.)
• ZTE Corporation

North America 5G Radio Access Network Market Report Segmentation

By Deployment

• Outdoor
• Indoor

By Component

• Hardware
• Antennas

 MIMO

 Beamforming

 Other Antennas Type

• Radio Units
• Baseband Units
• Other Hardware Types
• Software
• Services
• Professional Services
• Managed Services
• Consulting Services

 Planning & Design Services

 Integration & Validation Services

 Deployment Services

 Optimization & Performance Improvement Services

By Architecture Type

• CRAN
• ORAN
• VRAN

By End Use

• Telecom Operators
• Enterprises

By Country

• US
• Canada
• Mexico
• Rest of North AmericaThe Global 5G Radio Access Network Market size is expected to reach $65.68 billion by 2031, rising at a market growth of 18.0% CAGR during the forecast period.

The North America region witnessed 39% revenue share in this market in 2023. This is largely due to the robust investments in 5G networks by major telecom companies in the U.S., such as Verizon, AT&T, and T-Mobile. These operators focus on enhancing coverage, speed, and reliability to meet the increasing demand for data and connected services. Government initiatives and the growing adoption of 5G-enabled devices in sectors like healthcare and automotive further contribute to the region's market growth.

The major strategies followed by the market participants are Partnership as the key developmental strategy to keep pace with the changing demands of end users. For instance, In August, 2024, Ericsson AB partnered with Turkcell for a successful 5G Cloud RAN trial deployment, enhancing Turkcell’s network flexibility and scalability. This collaboration supports Turkcell’s shift toward Open RAN and strengthens digital transformation efforts in Türkiye. Moreover, In November, 2024, Cisco and NEC Corporation has partnered to resell private 5G core network solutions across Europe, the Middle East, and Africa, combining Cisco's technology with NEC's integration services. This collaboration aims to enhance digital transformation for enterprises, impacting this market.

KBV Cardinal Matrix - 5G Radio Access Network Market Competition Analysis

Based on the Analysis presented in the KBV Cardinal matrix; Samsung Electronics Co., Ltd., Huawei Technologies Co., Ltd., Cisco Systems, Inc., VMware, Inc., and Verizon Communications, Inc. are the forerunners in the 5G Radio Access Network Market. In February, 2024, Samsung and TELUS are collaborating to establish Canada’s first commercial virtualized and Open RAN network, enhancing performance, flexibility, and energy efficiency. This deployment will leverage Samsung's vRAN technology and multi-vendor solutions, marking a significant advancement in Canadian telecommunications. Companies such as Ericsson AB and Nokia Corporation are some of the key innovators in 5G Radio Access Network Market.

Market Growth Factors

The demand for high-speed data and low-latency services is rapidly increasing as industries and consumers rely more on data-intensive applications. Streaming services, video conferencing, cloud computing, and gaming require vast bandwidth and low latency to function optimally. As 5G networks can support speeds up to 100 times faster than 4G and reduce latency to as low as 1 millisecond, they are ideally suited to meet this demand. Thus, increasing demand for high-speed data and low-latency services drives the market's growth.

Additionally, Governments worldwide heavily invest in 5G infrastructure in their digital transformation agendas. Many nations have launched initiatives to promote the adoption of 5G networks, recognizing that they will be pivotal in advancing economic growth and technological innovation. By providing financial support, regulatory incentives, and policy frameworks that encourage the development of 5G networks, governments are fueling the growth of 5G RAN. Hence, government initiatives and investments in 5G infrastructure propel the market's growth.

Market Restraining Factors

However, One of the most significant barriers to the widespread adoption of 5G RAN is the high capital expenditure required for infrastructure deployment. Building a 5G network requires significant investment in new base stations, antennas, fiber optics, other components, and the necessary software and hardware systems for network management. The expense of building out 5G networks, particularly in rural or underserved regions, can be prohibitive for telecom operators, especially those with limited financial resources. Therefore, high capital expenditure for 5G infrastructure deployment hinders market growth.

The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Partnerships, Collaborations & Agreements.

Deployment Outlook

Based on deployment, the 5G radio access network market is categorized into outdoor and indoor. The indoor segment witnessed 39% revenue share in this market in 2023. The increasing demand for high-speed internet and improved connectivity inside buildings, such as offices, shopping malls, stadiums, and airports, is driving the growth of indoor 5G deployments. Indoor networks are necessary for addressing connectivity challenges in dense environments where outdoor signals might not penetrate effectively.

Component Outlook

Based on component, the 5G radio access network market is divided into hardware, software, and services. In 2023, the software segment held 12% revenue share in this market. This segment includes the various software solutions integral to the management, optimization, and performance of 5G networks. These software solutions are crucial in ensuring efficient radio resource management, network automation, and integration of the different components within the RAN architecture.

Architecture Type Outlook

On the basis of architecture type, the 5G radio access network market is segmented into CRAN, ORAN, and VRAN. In 2023, the ORAN segment attained 34% revenue share in this market. ORAN is gaining significant traction as it promotes openness, flexibility, and vendor diversification in the 5G ecosystem. Unlike traditional RAN architectures, ORAN is designed to be interoperable across various vendors' hardware and software components. This reduces dependency on a single vendor and enables telecom operators to build more cost-effective and customized networks.

End Use Outlook

By end use, the 5G radio access network market is divided into telecom operators and enterprises. The enterprises segment procured 20% revenue share in this market in 2023. Enterprises are increasingly adopting 5G technology to support their digital transformation, enhance connectivity for their operations, and leverage advanced applications such as augmented reality, virtual reality, and cloud computing.

Regional Outlook

Region-wise, the 5G radio access network market is analyzed across North America, Europe, Asia Pacific, and LAMEA. In 2023, the Asia Pacific region generated 28% revenue share in this market. This share is driven by the rapid adoption of 5G technology in countries like China, Japan, South Korea, and India. These nations are investing heavily in expanding their 5G networks to support advanced technologies like IoT, smart cities, and autonomous vehicles. Additionally, Asia Pacific has many telecom operators and technology providers, accelerating the growth of 5G infrastructure and services.

Market Competition and Attributes

The 5G Radio Access Network (RAN) market is highly competitive without top key players, as it opens opportunities for smaller and emerging companies to innovate and capture niche markets. Focus shifts to cost-effective solutions, energy efficiency, and localized deployments. Regional players and new entrants can thrive by addressing specific customer needs, driving innovation in open RAN technologies, and leveraging partnerships.

Recent Strategies Deployed in the Market

• Oct-2024: Huawei launched its 5G-AA solutions, enhancing network capabilities for the Mobile AI era. These solutions feature advanced Massive MIMO technology, full-domain site digitalization, and improved network autonomy to meet diverse service demands.
• Oct-2024: Nokia and Bharti Airtel have partnered under the "Green 5G" initiative to enhance energy efficiency in Airtel's 4G/5G radio access network. This collaboration aims to reduce CO2 emissions by 143,413 metric tons annually using AI/ML technologies and advanced software solutions.
• Sep-2024: Nokia has partnered with Spark New Zealand as the primary 5G Radio Access Network provider to enhance its 4G and 5G infrastructure in major cities. This collaboration focuses on streamlining operations and improving network efficiency for better customer experiences.
• Sep-2024: Nokia and Rockwell Automation have partnered to enhance industrial transformation through private 5G standalone networks. This collaboration focuses on improving industrial connectivity, operational efficiency, and security by leveraging Nokia's wireless technologies and Rockwell's automation solutions for real-time industrial control.
• May-2024: Ericsson AB partnered with Dell Technologies to accelerate telecom network cloud transformation through Cloud RAN and Open RAN solutions. This collaboration will help communications service providers (CSPs) modernize their networks with enhanced flexibility, scalability, and cloud-native capabilities.

List of Key Companies Profiled

• Ericsson AB
• Qualcomm Incorporated (Qualcomm Technologies, Inc.)
• Nokia Corporation
• Intel Corporation
• Samsung Electronics Co., Ltd. (Samsung Group)
• Verizon Communications, Inc.
• Cisco Systems, Inc.
• Huawei Technologies Co., Ltd. (Huawei Investment & Holding Co., Ltd.)
• VMware, Inc. (Broadcom Inc.)
• ZTE Corporation

Global 5G Radio Access Network Market Report Segmentation

By Deployment

• Outdoor
• Indoor

By Component

• Hardware
• Antennas

 MIMO

 Beamforming

 Other Antennas Type

• Radio Units
• Baseband Units
• Other Hardware Types
• Software
• Services
• Professional Services
• Managed Services
• Consulting Services

 Planning & Design Services

 Integration & Validation Services

 Deployment Services

 Optimization & Performance Improvement Services

By Architecture Type

• CRAN
• ORAN
• VRAN

By End Use

• Telecom Operators
• Enterprises

By Geography

• North America
• US
• Canada
• Mexico
• Rest of North America
• Europe
• Germany
• UK
• France
• Russia
• Spain
• Italy
• Rest of Europe
• Asia Pacific
• China
• Japan
• India
• South Korea
• Singapore
• Malaysia
• Rest of Asia Pacific
• LAMEA
• Brazil
• Argentina
• UAE
• Saudi Arabia
• South Africa
• Nigeria
• Rest of LAMEA

By Geography

• North America
• US
• Canada
• Mexico
• Rest of North America
• Europe
• Germany
• UK
• France
• Russia
• Spain
• Italy
• Rest of Europe
• Asia Pacific
• China
• Japan
• India
• South Korea
• Singapore
• Malaysia
• Rest of Asia Pacific
• LAMEA
• Brazil
• Argentina
• UAE
• Saudi Arabia
• South Africa
• Nigeria
• Rest of LAMEA