Dell’Oro Group’s first quarter revenue was just over $1 billion, down 10% year-over-year, as economic challenges continued to weaken the overall 5G mobile core network market.
“The fourth-quarter moving average has been on an ominous downward trend for three quarters as economic headwinds intensify the market’s impact, pushing year-over-year growth into negative territory,” said research director Dave Bolan. ” he said.
“This suggests that the market high in Q1 2023 will veer off its four-quarter moving average, after which the downward trend will continue for at least another quarter.”
Additionally, the 5G MCN market slowed for five consecutive quarters.
“Inflation is impacting some mobile network operators’ ability to raise capital and is also impacting subscribers as they upgrade their handsets to 5G,” Bolan wrote.
Bolan said growth plans were being limited by “many MNOs lowering their capex plans and announcing lower than expected 5G subscriber numbers on their networks.”
“As a result, we are lowering our growth forecast for 2024 from a positive growth rate to a negative growth rate.”
Based on four-quarter moving averages, growth rates in the Caribbean, Latin America, EMEA, and North America regions are trending into negative territory.
The Asia-Pacific region, including China, is showing a favorable trend.
Bolan said. Mobile World Live The top vendors by manufacturing revenue are Huawei, Ericsson, Nokia, and ZTE.
By the end of the first quarter, 51 mobile operators had deployed commercial standalone 5G networks, two of which launched during the quarter.
