China outranks the rest of the world for mobile core networks and multi-access edge computing market revenue growth in 2Q 2022, according to market firm Dell’Oro Group.
Worldwide market growth decelerated compared to 1Q 2022—from mid-single-digit percentage year-over-year (Y/Y) growth to low single-digit percentage year-on-year growth, the firm said.
The MCN (mobile core network) market in China grew at a double-digit percentage year-over-year growth rate in 2Q 2022 compared to the market outside China which had a negative year-over-year growth rate.
China invested 75% in 5G MCN infrastructure during the quarter while outside the country, only 20% was invested in 5G MCN infrastructure, Dell’Oro Group said.
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“The pace of 5G MCN investments in the rest of the world pales by comparison to China. China has led the way since 2020 and does not look like it is ready to slow down,” forecast Dell’Oro Group research director Dave Bolan.
“In 2Q 2022, a new 5G Standalone (5G SA) mobile network operator (MNO), China Broadnet, launched its 5G SA network, the fourth MNO to do so in China. Only two other 5G SA networks have launched in 2022, KDDI in Japan, and Dish Wireless in the United States. As a result, when it comes to 5G SA networks with a 5G Core, China leads the world,” Bolan pointed out.
“And they lead the world in 5G MEC deployments and 5G applications enabling consumers and enterprises to do more than the combined markets outside of China, even though they only account for one-fourth of the MCN market investments. While many service providers throughout the world talk about the future of 5G with some showcase applications and what it can do, it is a reality in China, at scale,” Bolan said.
The 2Q 2022 Mobile Core Network and Multi-Access Edge Computing Report stressed the following:
1. The top five global MNC suppliers in the quarter include Huawei, Ericsson, Nokia, ZTE, and Mavenir.
2. The top five global 5G MCN suppliers in the quarter include Huawei, Ericsson, ZTE, Nokia, and NEC.
This first appeared in the subscription newsletter CommsWire on 24 August 2022.
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