Sunday, February 13, 2011

Dell'Oro: $42 Billion Market for Mobile Infrastructure Equipment by 2015

The mobile infrastructure equipment market is forecast to resume positive growth in 2011 following the double-digit revenue decline in 2009, and single-digit decline in 2010, according to a newly published report by Dell'Oro Group. The overall mobile infrastructure market is expected to grow from $34 billion in 2010 to $42 billion in 2015.

The report shows that WCDMA revenues are expected to grow from $16 billion in 2010 to nearly $30 billion in 2015. LTE revenues are expected to grow from $350 million in 2010 to almost $7.7 billion in 2015.

"The growing use of mobile devices such as smartphones and tablets will continue to challenge operators and vendors for years to come," said Stefan Pongratz, Financial Analyst at Dell'Oro Group. "We believe this increase in data demand will require operators to continue investing in their 3G/3.5G networks throughout the entire forecast period. While we have seen several successful LTE launches and we expect LTE revenue to see strong growth, we believe WCDMA networks will carry the majority of the traffic throughout the forecast horizon. In addition, we anticipate some recurring 2G investments in fast-growing markets such as China and India to deal with the large 2G installed base," continued Pongratz.

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