LTE-Broadcast is a form of Multimedia Broadcast Multicast Services that utilizes LTE to deliver content over the network. The technology, also known as enhanced Multimedia Broadcast Multicast Services (eMBMS), will enable mobile network operators and content delivery networks to broadcast a variety of content to multiple users at the same time. LTE-Broadcast allows for the active switching between unicast and broadcast, which will enable on-demand type of broadcast content covered in 3GPP Release 12. The dual broadcast-unicast service will also generate higher operational efficiency for LTE-Broadcast.
Furthermore, LTE-Broadcast will enable broadcasters to extend their coverage to the mobile market as eMBMS is currently the most effective way of distributing TV content to mobile devices. Network congestion can be minimized through spectral efficiency brought about by eMBMS technology. Videos can also be streamed faster in addition to having higher quality resolution. LTE-Broadcast utilizes a single network which allows for easier management and the ease of content distribution. Advertising revenue opportunities can also be derived from the availability of live TV content on mobile devices.
There are also numerous applications for LTE-Broadcast including venue casting, newsfeeds, music streaming, and off-peak delivery services like software updates and caching. These applications represent business opportunities for stakeholders involved in the LTE-Broadcast ecosystem. ABI Research forecasts LTE-Broadcast service revenues to grow to US$7.3 billion in 2020. To derive the forecast model, the report investigated the market potential for various revenue streams highlighted in the LTE-Broadcast business application scenarios. ABI Research also looked at factors including subscriber saturation and ARPU erosion while developing the forecast model. In the long run, ABI Research believes that LTE-Broadcast can help to manage data traffic, in particular video traffic, and provide additional revenue streams for both MNOs and broadcasters who adopt the service.