Friday, October 26, 2012

Infonetics report that mobile backhaul gear remains in high demand

The latest market share and forecast report by Infonetics Research stated that the market for mobile backhaul gear will continue to grow.

The biannual Infonetics report, Macrocell Mobile Backhaul Equipment and Services, ranks mobile backhauling equipment vendors, identifies areas of growth for the market, and analyzes equipment, connections, cell sites, and service charges. The report tracks companies worldwide and covers areas of interest such as market share, size, and forecasts, installed cell sites, and service charges.

The market for macrocell mobile backhaul equipment could look forward to slow but steady growth. Verizon Wireless and AT&T may not be buying any new mobile backhaul equipment since they are close to completing their first big wave of LTE deployments. But they're not the only buyers in a very large one with plenty of room for growth. Rising requirements for capacity have driven network operators outside of North America buy microwave gear for additional mobile backhauling capabilities.

The macrocell mobile backhaul equipment market is forecasted to grow to $9.7 billion in 2016. Infonetics further predicted that $43.6 billion worth of macrocell mobile backhaul equipment will be purchased from 2012 to 2016.

Microwave equipment accounts for more than half of all spending in the mobile backhauling market. Supporting this is the Infonetics report, which discovered that 94 % of total purchased macrocell mobile backhaul equipment are IP/Ethernet gear. And 54% of the IP/Ethernet gear are packet-capable microwave types.

According to Infonetics, revenue for Ethernet mobile backhauling router will probably peak in 2015. The build out of macrocell mobile backhaul is expected to subside during that year. From then on, companies will shift their focus to cheaper, easier to deploy small cells.

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