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Private Wireless Market Surprises with Growth in 2024

In a recent report published by Dell'Oro Group, a well-known authority in telecommunications market analysis, the private wireless radio access network (RAN) segment has shown unexpected revenue strength in 2024. The report indicates that revenues for private wireless RAN soared by more than 40% compared to previous years. This surge is a testament to the vibrant expansion in this sector and highlights a growing interest among enterprises in adopting private cellular technologies.

A Growing Opportunity

Stefan Pongratz, the Vice President of Dell'Oro Group, expressed enthusiasm for the current trajectory of the private wireless segment, stating that it represents one of the fastest-growing areas in the broader RAN market. While the adoption of 5G technologies is still in its infancy, the early indicators suggest that private wireless networks accounted for roughly 3 to 5% of overall RAN revenues in 2024, indicating a significant potential as enterprises begin to invest in these solutions.

The report noted that wide-area deployments of private wireless networks increased faster than campus networks, pointing to a shift in enterprise preferences towards more expansive wireless solutions. With the enterprise RAN market valued at over $20 billion and largely untapped, interest from various stakeholders is on the rise. Traditional RAN suppliers are well-positioned to capitalize on this opportunity in the early stages, with established players like Nokia, Ericsson, and Samsung leading the way in the market.

Who's Leading the Pack?

Highlighting market leadership, Nokia emerged as the foremost provider of campus network private wireless RAN systems in 2024. Meanwhile, Huawei maintained its position as the leading supplier for wide-area private wireless networks during the same period. These findings underscore the competitive dynamics in the market, making it clear that well-established companies are currently steering the industry toward greater adoption.

Revised Forecasts and Future Outlook

The positive performance led to an upward revision of revenue forecasts, reflecting heightened enterprise optimism about private wireless engagements. Despite this encouraging growth rate, the Dell'Oro Group maintains that the journey to widespread enterprise adoption of private cellular technology may take time. However, projections anticipate that private wireless RAN revenues will achieve a compound annual growth rate (CAGR) of 15 to 20%, potentially comprising 5 to 10% of total RAN revenues by 2029. In contrast, public RAN revenues are expected to see a gradual decline at a 1% CAGR over the same timeframe.

To summarize, Dell'Oro Group’s Private Wireless Advanced Research Report serves as a pivotal document for understanding the evolving landscape of telecommunications. With both detailed vendor data and a five-year forecast for private wireless adoption, it provides essential insights for executives and industry stakeholders who aim to navigate the future of this exciting market segment. As enterprises continue to explore and invest in private cellular technologies, it is clear that the opportunity is significant, and the shift towards better connectivity is underway.

For those interested in diving deeper into this analysis, Dell'Oro Group offers their report along with a comprehensive look into market trends and vendor dynamics. For acquisition details, you can reach out to them at [email protected] or visit their official site for more insights on the telecommunications industry landscape.

About Dell'Oro Group

Dell'Oro Group is a renowned market research firm, specializing in competitive analysis within telecommunications, security, enterprise networks, and data center markets. By providing in-depth quantitative and qualitative insights, they enable organizations to make informed, data-driven decisions. For further inquiries, feel free to contact Dell'Oro Group directly at +1.650.622.9400 or visit their website at www.delloro.com.