Tuesday, August 23, 2011

Dell'Oro: Wireless Packet Core Market Grew 33% in Q2

Wireless packet core (WPC) market revenues grew 33% over the last year during the second quarter of 2011, according to a new report from Dell'Oro Group. Ericsson maintained its market share lead in revenues, followed by Huawei.

The report shows that 2Q11 revenues reached over $630 million. Equipment types that are included in the WPC market include Gateway GPRS Support Node (GGSN), Serving GPRS Support Node (SGSN), Packet Data Serving Node (PDSN) and Access Service Network (ASN) devices.

"Surging smartphone and tablet adoption is driving service providers to add wireless data subscriber management equipment," said Chris DePuy, Analyst at Dell'Oro Group. "While demand remains robust, we expect a handful of new vendors to challenge incumbent equipment providers as the market begins its transition to the next generation of equipment called Evolved Packet Core. At least four new packet core devices are in trials with service providers, with launch dates expected in the next several quarters. We expect to see some interesting shifts in the market's landscape when these new products ramp."

Equipment types that fall under the Evolved Packet Core (EPC) category include Mobility Management Entity (MME), Packet Data Node Gateway (PGW), Serving Gateway (SGW) and Policy and Charging Rules Function (PCRF).