Telecom Capex Rose 5 Percent in 1H26, Dell'Oro Group Reports
Global telecommunications capital expenditures increased by 5 percent in the first half of 2026, but longer-term outlooks remain muted as investment shifts from coverage to capacity.
Worldwide telecommunications capital expenditures (capex) grew by 5 percent in the first half of 2026, according to a new report from Dell'Oro Group. Despite this short-term increase, the industry's longer-term investment outlook remains subdued.
The report indicates that growth was driven by specific regional projects and network upgrades. However, a shift in investment focus is underway, with companies prioritizing the expansion of capacity in existing networks over new coverage deployment.
This reallocation reflects a maturing telecommunications market and an effort to optimize investments to meet rising data demands and service requirements. Analysts anticipate continued investment in capacity, while new network build-outs may see a slowdown.
Dell'Oro Group suggests that overall growth in the telecommunications sector could moderate in the coming years unless new significant investment drivers emerge, such as the development of 6G technology or broader digital transformation initiatives.