Cloud Radio Access Network (C-RAN) Market: Ready to experience exponential growth along with key players by 2024

The architecture of CRAN consists of the baseband unit (BBU), remote radio heads (RRHs), and common public radio interface (CPRI). C-RAN is the centralized baseband processing of many cells. It features improved performance with the help of its ability to coordinate between cells. Moreover, it serves as a cost-efficient solution, due to the pooling (grouping) of the resources. This is reflected in the architecture of the C-RAN, as all of the baseband unit (BBU) computational resources are combined into a central pool. Remote radio head (RRH) collects the radio frequency signals from the distribution antennas and further transmits it to the cloud platform through a communication interface or transmission network. The aim of the C-RAN architecture is to reduce the number of the cell sites while sustaining similar coverage, which will eventually result in reduced capital expenditure and decreased operating expenses while providing enhanced network services.

ZTE Corporation, Altiostar, Nokia Corporation, Cisco Systems, Inc., Samsung Electronics Co Ltd ., Huawei Technologies Co., Ltd., Ericsson AB, NEC Corporation, Fujitsu, and Intel Corporation are some of the key players operating in the global cloud radio access network (C-RAN) market.

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The China Mobile Research Institute introduced the C-RAN architecture in April 2010. Factors such as enhanced efficiency of the spectrum and lower total-cost-of-ownership (TCO) supplement the growth of the market. In addition, lower operational expenditure (OPEX) and convenient 4G & 5G accessibility fuel the market growth.

The other benefits of the CRAN include reuse of the infrastructure, simplification of the network operations & management, pooling of resources, and reduced energy consumption. C-RAN is specifically beneficial in low-latency network conditions. Moreover, it does not require to rebuild the transport network. However, high-capacity fronthaul requirement and high-cost optical fiber impede the stated market growth. Presently, the interface between remote radio unit (RRU) and baseband unit (BBU) is the major challenge for the implementation of the C-RAN. On the contrary, increase in adoption of cloud-based technologies and innovative service offering from telecom operators are expected to create ample opportunities for market expansion.

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Enhanced spectral efficiency, lower total-cost-of-ownership (TCO), reduced operational expenditure (OPEX), convenient 4G & 5G accessibility, high capacity fronthaul requirement, high-cost optical fiber, increase in adoption of cloud-based technologies, and innovative service offering from telecom operators are the significant factors that impact the growth of the global cloud radio access network (C-RAN) market. These factors are anticipated to either drive or hamper the market growth.

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