These are interesting times for wireless infrastructure. The demand for 5G, in both the non-standalone and standalone versions is there, with 5G adoption occurring faster than any of the previous wireless standards. However, the very uncertain path of the global economy has operators cutting or at least reconsidering capex plans. In addition, trade sanctions on China have that country re-evaluating their wireless infrastructure plans.

Despite this, 5G will drive growth for base station equipment. We forecast that the total number of new RAN sector equipment deployed per year will reach nearly 12.3 million units in 2027. This growth is contingent on China assigning millimeter wave frequencies to operators in 2023. If China delays this decision, the growth profile will change. The growth and evolving use of MIMO in base stations will propel radio component value to slightly more than $21.8 billion in 2027.