Mobile network sales to hit $43b by 2014

Liam Tung
04 Aug 2010

Telecom operators are once more buying network equipment, with the global market expected to grow again from 2011 onwards, says Dell’Oro..

The research firm said total sales will hit $43 billion by end 2014 – their highest level since 2008 – fuelled by a surge in demand for W-CDMA equipment and upgrades to LTE.

Operators will begin spending heavily to meet growing demand for mobile bandwidth caused by increased penetration of smartphones, the firm said.

“We forecast worldwide mobile data traffic will double each year,” Scott Siegler, senior analyst of mobile infrastructure research at Dell’Oro said.

While 3G infrastructure is tipped to account for 75% of the market by 2014, the firm says LTE equipment will begin to play a part from the second half of this year and account for $6 billion of total revenues by 2014.

The firm’s latest revenue forecast is $1 billion higher than it previously predicted, though it stands by its forecast of flat revenues during 2010.

However, even that will be welcome news for vendors, after the market experienced double-digit declines in 4Q09 and 1Q10.


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