Supply chain
5G private networks to help Taiwan makers step into Open RAN
Roger Huang, DIGITIMES Research, Taipei

5G private networks dedicated will become a stepping stone for Taiwan-based electronics and ICT makers to obtain orders for devices in the Open RAN (radio access network) market.

Open RAN uses open interface specifications, software-defined technologies and white-box hardware, countering dominance by major telecom equipment vendors, such as Ericsson and Nokia, in public networks.

Because development of Open RAN hardware, software technologies and compatibility testing is at the initial stage, it is still difficult to fully replace conventional telecom equipment for the time being. Digitimes Research believes private networks are preferred to public ones and rural areas precede urban ones for setting up Open RANs, and Taikwan makers will find opportunities from 5G private networks.

According to GAS, 259 enterprise-use private networks had been or were being established in 37 countries as of the end of November 2020.

As private networks are characterized by highly customized specifications and market fragmentation, Taiwan-based makers have to overcome the challenge through seeking appropriate 5G software developers and telecom carriers as partners.

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