US Funds, Japanese Scale: How Open RAN Just Rewrote the Telecom Playbook

US Funds, Japanese Scale: How Open RAN Just Rewrote the Telecom Playbook

A landmark deal between Airspan and Rakuten, backed by US funds, marks a new era for open networks, challenging the global telecom supply chain.

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US Funds, Japanese Scale: How Open RAN Just Rewrote the Telecom Playbook

PLANO, TX – December 09, 2025 – In the intricate world of global telecommunications, a new partnership has sent a powerful signal that transcends a simple supply deal. US-based Airspan Networks announced it will provide advanced radio units for Rakuten Mobile’s nationwide network in Japan. While collaborations are common, this one is different. It represents the first commercial deployment of Open RAN technology directly stemming from a strategic US government grant, creating a potent fusion of American innovation, Japanese scale, and a deliberate policy push to reshape the future of wireless networks.

This isn't just about launching a new product; it's about validating a paradigm shift. The deal critically analyzes the why behind the technology, showcasing how a cloud-native pioneer and a challenger vendor, backed by public funds, are creating a blueprint that could disrupt the industry’s established order, diversify its vulnerable supply chains, and redefine network economics for the next decade.

The Government's Hand: A Billion-Dollar Bet on Openness

The catalyst for this milestone is the National Telecommunications and Information Administration’s (NTIA) Public Wireless Supply Chain Innovation Fund. Authorized by the CHIPS and Science Act of 2022, this $1.5 billion, ten-year initiative is Washington's most direct effort to foster an alternative to the closed, proprietary ecosystems long dominated by a handful of global giants. The fund’s core mission is to accelerate the development and deployment of open, interoperable, and secure wireless networks.

Airspan Networks is a direct beneficiary, having been awarded $42.7 million to develop its “Highly Efficient 4G/5G O-RU Extensible Platform.” The grant was not merely a subsidy; it was a strategic investment designed to de-risk innovation and prove that smaller, specialized vendors could produce carrier-grade equipment capable of competing at the highest level. The NTIA’s goal is to break vendor lock-in, enhance security by allowing for more transparent, multi-vendor architectures, and build a more resilient supply chain with a stronger foothold for US and allied companies.

“Being part of the first commercial Open RAN deployment linked to NTIA awards is a strategic milestone for Airspan,” said Glenn Laxdal, CEO of Airspan Networks, in a statement. “Our work with Rakuten Mobile showcases how US innovation and ORAN approach can give operators a more flexible, cloud-native architecture to accelerate deployment, strengthen supply chain diversity, and improve network economics.” This deployment is the tangible result of that policy, moving Open RAN from a theoretical ideal to a commercial reality in one of the world's most advanced mobile markets.

A Blueprint for the Future: Inside Rakuten's Multi-Vendor Network

To understand the significance of Airspan’s role, one must look at Rakuten Mobile. The Japanese operator has never been a traditional carrier. It made waves by building the world's first fully cloud-native, virtualized mobile network from the ground up. Instead of buying a complete, integrated package from a single vendor, Rakuten embraced a disaggregated model, assembling its network with components from a diverse ecosystem of partners. With over 345,000 cells already deployed from various radio vendors managed by a unified software layer, it is the largest and most ambitious Open RAN experiment on the planet.

This architecture is Rakuten’s core strategy. It provides the flexibility to innovate rapidly, avoid vendor lock-in, and drive down costs. By separating hardware and software, Rakuten can select best-in-class solutions for each part of its network. The addition of Airspan's mid-band radio units is a testament to this philosophy in action. These open-standard radios must seamlessly integrate into a complex environment alongside equipment from other vendors like NEC and Fujitsu, all while delivering the performance and capacity needed for Japan’s dense urban centers and sprawling rural areas.

“Rakuten Mobile is committed to an open, multi-vendor ecosystem that drives innovation, performance, and cost efficiency,” explained Sharad Sriwastawa, co-CEO of Rakuten Mobile. “By integrating Airspan’s ORAN radio units, we benefit from interoperable, easy-to-integrate RUs that help us deliver high-quality voice, data, and digital services to customers across Japan.” For other operators watching from the sidelines, the Rakuten-Airspan partnership provides a powerful and de-risked blueprint for how to execute a similar transition.

From Grant to Grid: A Challenger Rises in the Open RAN Arena

For Airspan Networks, this deployment is more than just a major sale; it's a coronation. Backed by the financial and political weight of the NTIA grant, the Plano, Texas-based company has proven its ability to deliver at scale for a demanding, top-tier operator. This elevates Airspan from a promising Open RAN vendor to a validated strategic player in a market that is rapidly heating up.

The Open RAN radio unit (RU) space is fiercely competitive. Airspan competes not only with established giants like Samsung but also with strong regional players such as Japan's NEC and Fujitsu, who are also key Rakuten suppliers. This win demonstrates that Airspan's technology is not only interoperable but also competitive on performance and TCO (Total Cost of Ownership). It validates the company’s engineering prowess and its ability to navigate the complex integration challenges that have been a key barrier to wider Open RAN adoption.

By successfully deploying in Japan, Airspan gains an invaluable reference case that will resonate with operators in North America, Europe, and other regions contemplating their own Open RAN strategies. The backing of the US government provides an additional layer of credibility, particularly for operators in countries aligned with the push for a more secure and diversified 5G supply chain. This single event significantly strengthens Airspan’s position as it vies for a larger piece of a market that industry analysts at Dell'Oro Group project will grow to represent 15-20% of the total RAN market by 2028.

The Global Ripple Effect of a Single Deployment

The impact of this collaboration extends far beyond Tokyo and Texas. It serves as a crucial proof point that addresses some of the industry’s most persistent doubts about Open RAN. The question of whether a multi-vendor network could match the performance and reliability of a traditional single-vendor system at a national scale now has a compelling answer. Furthermore, it demonstrates that government incentives, when targeted effectively, can successfully bridge the gap between innovation and commercialization.

This deployment acts as a powerful accelerator. For mobile operators, it lowers the perceived risk of committing to an Open RAN strategy. For governments, it validates the use of public funds to achieve strategic goals related to national security and economic competitiveness in the technology sector. And for the Open RAN ecosystem at large, it injects a dose of confidence and momentum, encouraging further investment and development in open-standard software and hardware.

The path forward for Open RAN is not without challenges. System integration complexity and ensuring seamless performance across all vendor combinations remain key tasks. However, the success of the Rakuten Mobile network, now further enhanced by Airspan, shows that these challenges are surmountable. This deployment is a convergence of visionary technology, strategic industrial policy, and market demand, creating a powerful precedent that will undoubtedly influence the architecture of wireless networks for years to come.

📝 This article is still being updated

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