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– Telefónica

As the overall RAN market takes a 5G breather, Ericsson is bolstering its radio access network (RAN) portfolio with four new RAN units, a pair of new carrier aggregation software options, two new artificial intelligence (AI)-endowed routers and a new transport controller.

The new RAN units include a “high-capacity” RAN processor unit and radio processor unit that provide four-times the capacity of previous units and can support up to a half-dozen 4G and 5G modes in a single unit. Ericsson said this will allow operators to run more technologies simultaneously on a single RAN compute board, including support for open RAN deployments.

There is also a pair of new standard capacity RAN processor and radio processor units for those needing a standard amount of capacity.

Key to the increased capacity is the use of Ericsson’s latest system-on-a-chip silicon platform. This is built using a custom-made, flexible and modular architecture that Ericsson claims allows the RAN compute product to consume up to 60% less power compared “to industry benchmarks.”

Ericsson is working with Intel on the silicon platform, using the chip giant’s Intel 4 technology. It’s also continuing to work with Intel to develop and manufacture custom 5G system-on-a-chip products that are expected to be produced beginning next year, which means its inclusion in Ericsson RAN equipment might not come until 2025 at the earliest.

Carrier aggregation, routers and a transport controller

The new software features include automated carrier aggregation and carrier aggregation data steering. These are designed to automate the management of precious spectrum resources used in carrier aggregation deployments.

Carrier aggregation is the process of virtually combining noncontiguous spectrum assets to form a larger spectrum channel. This larger channel can support higher data speeds and capacity.

Carrier aggregation is an important component of 5G technology standards and allows operators to more fully utilize their increasingly diverse spectrum holdings. Operators and vendors have been aggressively rolling out various carrier aggregation models to support commercial services and have been touting ever-increasing network speeds.

Ericsson, for instance, recently combined its carrier aggregation capabilities with powerful antennas and a chipset from MediaTek to produce upload speeds in excess of 550 Mb/s.

New routers tap enhanced RAN capabilities and AI analytics

Ericsson also rolled out new routers that are bolstered to take advantage of the new enhanced RAN compute products. The 6678 model is a centralized RAN hub router that supports 4.8 Tb/s aggregation and is claimed to be three-times more energy efficient compared to the previous generation. The 6671 model is designed as a cell site router capable of supporting 25 Gb/s Ethernet.

These routers also support AI analytics and automation that is set to be included with 5G-Advanced standards.

Ericsson’s latest Transport Automation Controller can also be used to leverage those AI analytics and automation capabilities in the new routers. This cloud-native transport controller can analyze and automate microwave, IP routers and optical networks to support evolving RAN architectures.

The RAN updates come at a critical time for the vendor.

Most advanced telecom operators that were early on 5G deployments are set to hit an investment lull as they look to monetize those current investments and await the push toward their next investment cycle tied to 5G-Advanced. This has left vendors like Ericsson facing a multi-year hole on investments that they need to make up for with new advances to tempt incremental updates or target operators that lagged the initial 5G investment cycle.

Why the RAN market is slowing

While Ericsson remains one of the market’s largest RAN vendors, Dell’Oro Group recently noted the overall market slowed at the most dramatic pace in nearly seven years, hitting that sales wall much faster than expected. Dell’Oro Group VP Stefan Pongratz placed that wall’s creation at the feet of the North American market.

“It is tempting to point the finger at data traffic patterns, 5G monetization challenges and the odds stacked against an economy struggling with persistent levels of elevated inflation,” Pongratz wrote. “Although these are, of course, important factors, we attribute the poor performance in the quarter to the clouds forming in North America. Alongside challenging 5G comparisons, the decline was amplified by the extra inventory accumulated over the past couple of years to mitigate supply chain risks.”

The analyst firm continues to forecast the global RAN market will post lower overall revenues for all of 2023 compared to last year. That sentiment has been echoed by vendors, which have hinted at a potential recovery beginning next year.

“We expect a gradual recovery toward late in 2023, and then improve in 2024,” Ericsson CEO Börje Ekholm told investors during the vendor’s second-quarter earnings call.