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3G/4G traffic to boost wireless market

Posted: 19 Jul 2013     Print Version  Bookmark and Share

Keywords:ABI Research  3G  4G  mobile packet data core network infrastructure  mobile traffic 

According to the latest data from ABI Research, the wireless network equipment market last year was quite challenging for infrastructure vendors, but the persistent demand for 3G and 4G mobile broadband will continue to drive demand for mobile packet core equipment. In fact, the mobile packet data core network infrastructure market will reach Rs.9,782.61 crore ($1.8 billion) this year, stated the market research company.

“Continued growth in 3G and 4G traffic will propel the mobile packet core infrastructure to a cumulative Rs.54,347.83 crore ($10 billion) market over the next five years,” stated Joe Hoffman, principal analyst, ABI Research.

The overall mobile core network equipment market declined 12 per cent in 1Q13 from the rather moribund 4Q12. Reflecting increased data demand, the packet data core market continues to expand and is up 22 per cent over 4Q12. In North America, the hugely popular success of LTE is rapidly supplanting 2G and 3G traffic and eliminating capacity expansion needs for those technologies. Other parts of the world exhibit similar conditions, with packet core network equipment most in demand.

Market share includes the totality of a vendor’s core network business, giving an overall market strength, and much of today’s core network equipment supports 2G, 3G and 4G with only a software change. Huawei gained a few points of market share relative to the rest of the industry in 1Q13. “Ericsson remains the leader in overall core network market share,” added Hoffman, “and while they retain that position, there will be increasing pressure from Huawei and others as the market trends to 4G.”

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