“Even with the RAN results now coming in below expectations two quarters in a row, it is important to keep in mind that it is still early days in the broader 5G cycle and fundamentals remain healthy”, said Stefan Pongratz, Vice President at Dell’Oro Group.

“Sales of microwave transmission equipment started the year strong as operators increasingly added backhaul capacity to cell sites,” stated Jimmy Yu, Vice President at Dell’Oro Group. “While component shortage and supply chain issues are expected to remain a problem for this industry through 2022, we continue to forecast a strong rate of market growth this year….

“Telco investments, in general, have shown remarkable resilience to external factors including Covid-19 containment measures, supply chain disruptions, and economic uncertainties,” said Stefan Pongratz, Vice President and analyst with the Dell’Oro Group. “Surging wireless investments in the US taken together with non-mobile capex expansions in China will keep the momentum going in 2022,” continued Pongratz.

“The pandemic made remote work and cloud-based applications necessary, and by doing so, accelerated the obsolescence of the classic hub-and-spoke networking model,” said Mauricio Sanchez, Research Director, Network Security, and SASE & SD-WAN at Dell’Oro Group.