Dell’Oro Group reports 4% rise in telecom equipment revenues in 2025
Dell’Oro Group found aggregate worldwide telecom equipment revenues across six tracked programs rose 4% year over year in 2025, signaling improved investment conditions and a strong fourth quarter relevant to enterprise and technical procurement planning.
Market Overview
The analyst cited easier year-over-year comparisons, inventory stabilization, favorable currency movements, healthy wireless and wireline demand, and cloud provider investment as supports for 2025 growth.
The fourth quarter accounted for 29% of full-year revenue.
Key Findings
Aggregate revenue increased 4% Y/Y in 2025 after a 14% decline from 2022 to 2024; Optical Transport and SP Router & Switch stood out due to exposure to data center infrastructure.
The report noted better-than-expected growth in Mobile Core Network (MCN), Optical Transport, and SP Routers relative to the analyst team’s initial flat outlook for 2025, and that the 5G MCN market reached an inflection point.
Segment or Supplier Performance
Global supplier rankings remained largely unchanged while revenue shares shifted modestly; Nokia gained share and Huawei and Ericsson remained broadly stable.
Nokia’s share gains were partly driven by its acquisition of Infinera, and Dell’Oro attributed Huawei’s performance in permitted markets to a comprehensive telco strategy, Research and Development (R&D) investments that exceed competitors, and footprint expansion adapting to geopolitical constraints.
Technology or Trend Analysis
Both wireless and wireline segments supported growth, with cloud and data center infrastructure investment contributing to Optical Transport and SP Router & Switch performance.
Forecast or Analyst Outlook
The analyst team projects global telecom equipment revenue across the six programs to grow 2% to 4% in 2026, while the outlook for wireless infrastructure is more muted.
The report provides updated market context for procurement, planning, and infrastructure investment decisions. This Analyst Signals brief reflects a neutral, fact-based summary of the original research note.