Dell’Oro Group predicted demand for microwave transmission equipment would increase over the coming years due to 5G deployments which rely more on wireless backhaul than fibre.

VP Jimmy Yu stated 5G spectrum auctions and launches would drive demand.

“We should see more 5G deployments in countries in Latin America, and Middle East and Africa, and parts of Asia, specifically India,” Yu told Mobile World Live.

Yu added most countries in those regions have traditionally used more wireless backhaul than fibre.

Dell’Oro predicted revenue from the equipment would hit $18 billion in the period from 2022 to 2026, with approximately 70 per cent driven by mobile backhaul and the remainder from sales into vertical markets including enterprise and the government sector.

The company tipped E-Band as the spectrum to grow the most over the forecast period, with a CAGR including V-Band of 25 per cent.

Dell’Oro stated demand for point-to-point microwave transmission equipment grew 11 per cent in 2021.