Analysts name several factors causing the negative dynamics. One of them is the uncertainties that have formed in the context of a difficult macroeconomic situation and a deteriorating geopolitical situation. In addition, there are excess stocks of components in a number of regions. Plus, there is weak growth in China, India and the United States.
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Globally, telecom operators’ revenues are expected to post a CAGR (compound annual growth rate) of 1% over the next three years. At the same time, it is predicted that capital expenditures in the telecom sector will decrease by several percent in 2024, while until 2026 the CAGR will be minus 2%.
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