Total Mobile Central Network (MCN) and Multi-Access Edge Computing (MEC) market revenue growth in 2021 has slowed to its lowest rate since 2017.
The growth rate in the MCN and MEC markets is expected to increase in 2022 with the expansion of the 21 commercial 5G standalone (5G SA) MBB networks that have been deployed by the end of 2021, coupled with new 5G SA networks ready to be launched around the world. year.
“MCN’s revenue for 2021 was lower due to a poor performance in the fourth quarter. Revenue for the 4th quarter of 2021 was lower than the 4th quarter of 2020. The last time this happened was at Q4 2017,” said Dave Bolan, Research Director, Dell’Oro Group. “The poor performance in 4Q 2021 was due to negative year-over-year revenue performance for the China region.”
Growth in 2021 came from the 5G MCN segment and was not enough to offset the decline in 4G MCN and IMS Core.
Of the 21 commercially deployed SA 5G networks, Huawei is the primary packet provider in seven of the networks, including the world’s three largest networks located in China.
Ericsson is the base packet provider in 10 of the networks. Huawei and Ericsson gained MCN revenue market share in 2021.
MEC represents a fraction of the overall MCN market. Ericsson will accelerate MEC adoption and help 5G MNOs monetize their networks by merging MEC implementations around 3GPP standards.
The top-ranked MCN vendors based on revenue in 2021 were Huawei, Ericsson, Nokia, ZTE and Mavenir.
EMEA was the only region to increase revenue in 2021. APAC was the top region by revenue for 2021.