A recent report published by Dell’Oro Group says point-to-point microwave transmission equipment revenue declined year-on-year for a fourth consecutive quarter due to a slowdown in 5G deployments. The decline was especially noticeable in the Asia Pacific region.
The 2Q 2024 Microwave Transmission & Mobile Backhaul Quarterly Report offers in-depth market coverage with tables covering manufacturers’ revenue, ports/radio transceivers shipped, and average selling prices by capacities (low, high, and E/V Band). The report tracks point-to-point TDM, packet, hybrid microwave, and full indoor and full outdoor unit configurations.
“The microwave transmission market started to trend downward a year ago in the second quarter of 2023,” Dell’Oro Vice President Jimmy Yu. “This downward trend is, for the most part, due to delays and slow starts in upgrading to 5G as operators in many parts of the world lack incentive to rapidly install a 5G networks.”
Key takeaways from the 2Q 2024 Microwave Transmission & Mobile Backhaul Quarterly Report include:
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The microwave transmission market declined 8% year-over-year in the second quarter of 2024, driven by less demand for mobile backhaul. Revenue associated with mobile backhaul declined 9% year-over-year.
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Both the long haul and short haul markets declined in the quarter. The steepest rate of decline was in long haul due to limited demand for full indoor units (FIDUs). Dell’Oro estimates FIDU revenue declined nearly 40% in the quarter.
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Except for the Middle East and Latin America, all regions declined on a year-on-year basis in the quarter. The region with the steepest decline was Asia Pacific due to India. Indian revenue declined 40%.
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Four vendors (Aviat, Ceragon, Huawei, and ZTE) managed to increase their revenue in the second quarter of 2024 compared to the same period last year.
