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Frost & Sullivan: Increasing Wireless Data and Deployment of LTE Lifts Related Test Equipment Market


News provided by

Frost & Sullivan

31 Jul, 2012, 12:11 GMT

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- Market opportunities grow as telecommunication industry shifts to advanced technologies to meet demand for high speed and bandwidth

MOUNTAIN VIEW, California, July 31, 2012 /PRNewswire/ -- Burgeoning mobile traffic due to the availability of high-speed networks along with the increased penetration of smartphones and connected devices such as laptops, netbooks, notebooks and tablets; as well as the use of higher bandwidth-consuming applications and services is pushing the deployment of long-term evolution (LTE) technology. This is expected to create numerous opportunities for wireless test equipment vendors.

New analysis from Frost & Sullivan (http://www.testandmeasurement.frost.com), High Growth Opportunity: LTE Test Equipment Market, finds that the global LTE test equipment market generated revenues of $760.8 million in 2011 and is estimated to reach $2,845.6 million in 2018.

If you are interested in more information on this research, please send an email to Jeannette Garcia, Corporate Communications, at jeannette.garcia@frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country.

With new smartphones and platforms such as Apple's iPhone and Google's Android entering the market, the number of applications that deliver a wide range of capabilities, such as viewing photos, playing music, watching movies and gaming, has increased significantly. The need for speed and more bandwidth is compelling telecom service providers (SPs) to deploy 4G technologies. Currently, most countries use Global System for Mobile communications (GSM)-based networks. LTE is the natural progression for these networks and can generate better economies of scale for carriers.

Currently, LTE deployments underway globally are backward-compatible with existing GSM and code division multiple access (CDMA), Wi-Fi and WiMAX offerings. Its scalable bandwidth, from 1.25 MHz to 20 MHz, allows SPs to offer more voice, data, and services in a given bandwidth, improving average revenue per user and reducing operating expenses. The current deployments, though, will not offer 4G speeds, but this will eventually be enabled through LTE Advanced (LTE-A).

Even as LTE is deployed in large cities, smaller cities will continue to operate on Evolved High-Speed Packet Access (HSPA+), towns will employ Universal Mobile Telecommunications System (UMTS), and rural areas will continue operating on GSM, all on the same network. The multiple standards operating parallel with LTE are expected to create complex technical issues that need to be addressed, making interconnectivity with legacy networks a challenge.

"This presents a key challenge for wireless test equipment vendors," said Frost & Sullivan Program Manager Olga Yashkova. "They must ensure that the LTE devices work seamlessly with legacy networks, in addition to guaranteeing compliance with the latest LTE standards."

The complexity associated with LTE testing, combined with the application-specific demands of customers, has resulted in limited availability of LTE testing tools that meet the varying testing needs. Multiple types of test equipment and technologies for applications such as research and development, manufacturing, installation and maintenance, as well as monitoring are likely to advance the growth of the overall LTE test equipment market.

"As LTE is still a new technology with only a few SPs deploying it globally, end-users will prefer purchasing backward- and forward-compatible testing tools for future use and LTE trials," said Yashkova. "In addition, the trend toward integrated test equipment, such as one-box testers, is expected to continue with the higher price-to-performance ratio."

High Growth Opportunity: LTE Test Equipment Market is part of the Test & Measurement Growth Partnership Services program, which also includes research in the following markets: Mobile Backhaul and Wireless Core Test Equipment Market, Global Gigabit Ethernet Test Equipment Market, Global Wireless Test Equipment Market, Wireless Test Equipment Market in China, among others. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.

Our "Growth Partnership" supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.

  • The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.
  • The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.

For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organization prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?

Contact Us: Start the discussion

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High Growth Opportunity: LTE Test Equipment Market
N9B9-30

Contact:
Jeannette Garcia
Corporate Communications – North America
P: +1-210-477-8427
E: jeannette.garcia@frost.com

http://www.frost.com

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