The global market for LTE was valued at USD 10.47 billion in 2012 and is expected to grow at a CAGR of 78.6% during the forecast period from 2013 to 2019. The market is majorly driven by increased need for higher data rates and greater spectral efficiency. In turn, this need is driven by increased data usage, rapid deployments of smart devices and need for high quality of services on move. In addition, increased adoption of public safety LTE and planned large-scale adoption of LTE by operators in Asia Pacific is expected to boost the market growth further.
Demand for mobile data and broadband services are growing at a fast pace, but operators are facing challenges in attempt to capture this value. There is need for resolution of substantial capacity constraints while conquering profitability issues in the current pricing composition. With huge growth in mobile data demand (including smartphone and mobile broadband), there is substantial need for spectrally efficient technology and shifting business models for monetizing mobile data across the customer base.
LTE market is segmented on the basis of technology, components of LTE environment and services and applications offered over LTE networks. Technology segment includes LTE FDD, TD-LTE and LTE Advanced. The components considered are LTE infrastructure, chipsets, terminal equipments and LTE testing equipments.LTE infrastructure segment accounted for around 34% share in 2012 of the total LTE market. The demand for infrastructure is driven by saturation existing in the 2G and 3G networks and quest for higher data rates. As LTE evolves, the service providers have been looking for data-only networks, carrying voice in packet data form. Further, LTE infrastructure is being installed for upgrading the core networks as well as up gradation of backhauls and base stations for making network systems spectrally efficient and cost effective.
Services and application segments of LTE include browsing, games, M2M and connected devices, m-commerce, mobile cloud services, music, P2P messaging, public safety LTE, TV/video-on-demand and Voice over LTE (VoLTE). One of the key factors driving market growth of VoLTE is increased need for sustained use of voice services along with the data services. It also offers unique advantages of lowering voice infrastructure economics in the long term and promises to improve voice quality.
North America was the largest regional market for LTE as the region has been witnessing increased access to smarter devices demanding faster networks and large scale deployments of public safety LTE. Asia Pacific is expected to surpass North America by 2015, owing to growing demand for high-speed wireless data and increased spending on infrastructure by operators in this region especially, China, India, Korea and Japan. Asia-Pacific has been a major driving momentum behind TD-LTE adoption.
Among network operators (carriers), Verizon Wireless led the LTE market with a market share of 58.1% in 2012 followed by NTT DoCoMo. Other important network operators include AT&T Mobility, China Mobile, Sprint Corp, T-Mobile, Vodafone and SK Telecom. Among LTE network infrastructure vendors, Ericsson lead the LTE market with a market share of 30% in 2012 followed by Huawei.
The world of communications is changing. Emergence of smartphones has led to an evolution of networks from being voice-centric to data-centric, delivering pervasive connectivity. LTE, an initial of Long Term Evolution and marketed as 4G LTE, is a wireless communication standard for high-speed data for data terminals and mobile phones. LTE technology reduces the cost per gigabyte with enhanced capacity per site. Demand for mobile data and broadband services is growing at a fast pace, but operators are facing challenges in attempt to capture this value. Operators are reassessing the build-out of infrastructure, and thus their choice of infrastructure vendor. Initial build-out of larger, macro-base stations is now being improved by small base stations. As LTE matures, and LTE Advanced comes to the fore, semiconductor vendors are expected to gear up for devices that can support a complex mix of networks, frequency bands and performance.
There is need for resolution of substantial capacity constraints, while conquering profitability issues in the current pricing composition. With huge growth in mobile data demand (including smartphone and mobile broadband), there is substantial need for spectrally efficient technology and shifting business models for monetizing mobile data across the customer base. The requirement of improved data speed, demand for bandwidth and rising data-hungry applications and services have driven the demand for LTE networks. LTE network deployments are progressing with several countries in North America, Asia Pacific and Europe already operating LTE networks. Simultaneously, the wireless world is moving towards smart devices.
The research report titled “LTE Market - Global Industry Analysis, Size, Share, Growth, Trends and Forecast, 2013 – 2019” provides in-depth analysis of the global market based on technology, components of LTE environment, services and applications offered on LTE networks and major geographies during the forecast period, 2013 to 2019. The report provides complete understanding of factors driving and restraining market growth, potential growth opportunities, and prevailing trends behind the popularity of LTE. The research report provides market estimates and forecast for all the market segments and explains the impact of various factors on these segments. The report identifies the major stakeholders in the LTE market including the suppliers, OEMs, network equipment vendors, network infrastructure integrators, service providers (carriers), chipset vendors, user equipment manufacturers, software/application providers and end-users (customers).
The major technologies discussed in this report include LTE FDD, TD-LTE and LTE Advanced. The market is also segmented based on the components of LTE environment including LTE infrastructure, chipsets, terminal devices, network service providers and LTE testing equipments. Further, the report provides analysis of market based on services and applications provided on LTE networks including browsing, games, M2M and connected devices, m-commerce, mobile cloud services, music, P2P messaging, public safety LTE, TV/video-on-demand and VoLTE.
The major geographies analyzed under this research study include North America, Europe, Asia Pacific, and Rest of the World (RoW). The competitive landscape section in the report presents market share analysis of major players in the global LTE market in 2012.
Apart from the above cross sectional analysis of the global LTE market, the report also provides competitive profiling of major players engaged in LTE network operation and LTE infrastructure vending, their market positioning, business strategies, and various recent developments.
The major players profiled in the report include AT&T Inc., Verizon Wireless, Sprint Corporation, T-Mobile US Inc., China Mobile Ltd., Bharti Airtel Ltd., Ericsson, Alcatel-Lucent, Nokia Solutions and Networks B.V. (NSN) and Huawei Technologies Co. Ltd.
The report also provides better understanding of global LTE market with the help of Porter’s five force analysis and further highlights the competitive scenario across different levels of value chain. In all, the report provides a detailed analysis of the global LTE market along with the forecast, in terms of revenue (USD million) for all the market segments during the forecast period from 2013 to 2019.
The global LTE market is segmented as below:
- LTE FDD
- LTE Advanced
- Terminal equipments (Module, Phone, Router, Tablet and USB Modem)
- Network service providers
- LTE testing equipments
By services and applications
- M2M and Connected Devices
- Mobile Cloud Services
- P2P messaging
- Public Safety LTE
- North America
- Asia Pacific
- Rest of the World (RoW)