2011 Base Station Shipments Will Be Up 14% Year over Year and 2012 Prognosis Is Good

Oyster Bay, New York - 03 Oct 2011

The world economy may be teetering on the brink of a double-dip recession, but business is booming for wireless infrastructure vendors. According to Jake Saunders, vice president of forecasting, “Base station installations in 2011 will total at least 10% more than anyone expected just one year ago and we also see increases in planned orders for 2012 and beyond.”

There are a number of factors contributing to the increase in base station shipments, but two countries in particular are significant to growth. Operators in China will more than double their number of 3G subscribers by the end of 2011, with low-cost smartphones becoming popular there. Meanwhile, US operators are investing large amounts of CAPEX in 4G. Reports indicate that Verizon has installed or upgraded 20,000 to 30,000 base stations over the past 16 months, AT&T is starting to launch LTE services in major cities around the country, and Sprint’s Network Vision will see most of their existing infrastructure replaced by multi-mode base stations that can support 2G, 3G, and 4G simultaneously.

The major motivation for mobile operators to expand their networks comes from the continuing growth in mobile broadband data traffic, driven by increasing penetration of smartphones (and, to a lesser extent, tablets).  “Existing networks are struggling to cope with the surge in data traffic, so operators are forced to increase capacity,” says Jim Eller, principal analyst for wireless infrastructure. “However, operators are finding new revenue opportunities with mobile data, which more than compensate for decreasing voice revenues, so they are expecting good returns on this investment.”  Moving 2G subscribers to 3G, and 3G to 4G, results in more efficiencies for operators and allows operators to offer more data services.

ABI Research’s “Wireless Infrastructure Market Data” tracks base station deployments by technology, by region, and by country. The market data also forecasts new deployments, upgrades and replacements annually through 2016, as well as operator base station spend estimates. This data is critical for companies following the wireless infrastructure equipment business. 

This quarterly market data report is included in ABI Research’s Radio Access Networks research service.

ABI Research provides in-depth analysis and quantitative forecasting of trends in global connectivity and other emerging technologies. From offices in North America, Europe and Asia, ABI Research’s worldwide team of experts advises thousands of decision makers through 30+ research and advisory services. Est. 1990. For more information visit www.abiresearch.com, or call +1.516.624.2500.

About ABI Research

ABI Research provides strategic guidance to visionaries, delivering actionable intelligence on the transformative technologies that are dramatically reshaping industries, economies, and workforces across the world. ABI Research's global team of analysts publish groundbreaking studies often years ahead of other technology advisory firms, empowering our clients to stay ahead of their markets and their competitors.

ABI Research提供开创性的研究和战略指导,帮助客户了解日新月异的技术。 自1990年以来,我们已与全球数百个领先的技术品牌,尖端公司,具有远见的政府机构以及创新的贸易团体建立了合作关系。 我们帮助客户创造真实的业务成果。

For more information about ABI Research's services, contact us at +1.516.624.2500 in the Americas, +44.203.326.0140 in Europe, +65.6592.0290 in Asia-Pacific or visit www.abiresearch.com.

Contact ABI Research

Media: Interview an Analyst

Media Contacts

Americas: +1.516.624.2542
Europe: +44.(0).203.326.0142
Asia: +65 6950.5670