HSPA drives mobile infrastructure market growth in 2008, says Dell'Oro Group
Worldwide total mobile infrastructure market revenues grew 5% in 2008, driven by the nearly doubling and quadrupling of revenues of the WCDMA and WiMAX markets, respectively, according to Dell'Oro Group.
"The rapid expansion of high speed packet access (HSPA) networks worldwide beginning in the first quarter of the year was instrumental in driving the growth of the WCDMA market in 2008," stated Scott Siegler, senior analyst of mobile infrastructure research at Dell'Oro Group. "The true broadband data rates of these upgraded networks, along with the doubling of the HSPA device ecosystem, including smartphones, notebooks and mobile Internet devices (MIDs) were the primary drivers of the WCDMA market's ramp. The prevalence of flat rate data plans was even greater incentive for 2G subscribers to migrate to 3G and take advantage of these true mobile broadband networks. The WCDMA subscriber base increased by over 100 million during the year. More HSPA subscribers, with each subscriber accessing substantially more data, drove operators to significantly invest in expanding and upgrading the capacity of their HSPA networks," Siegler added.
Dell'Oro Group also indicated that despite 30% growth and a record number of base station deployments for the combined GSM and CDMA markets, higher than normal price erosion of over 25%, resulted in a 10% contraction in revenues for these markets.
"The rapid expansion of high speed packet access (HSPA) networks worldwide beginning in the first quarter of the year was instrumental in driving the growth of the WCDMA market in 2008," stated Scott Siegler, senior analyst of mobile infrastructure research at Dell'Oro Group. "The true broadband data rates of these upgraded networks, along with the doubling of the HSPA device ecosystem, including smartphones, notebooks and mobile Internet devices (MIDs) were the primary drivers of the WCDMA market's ramp. The prevalence of flat rate data plans was even greater incentive for 2G subscribers to migrate to 3G and take advantage of these true mobile broadband networks. The WCDMA subscriber base increased by over 100 million during the year. More HSPA subscribers, with each subscriber accessing substantially more data, drove operators to significantly invest in expanding and upgrading the capacity of their HSPA networks," Siegler added.
Dell'Oro Group also indicated that despite 30% growth and a record number of base station deployments for the combined GSM and CDMA markets, higher than normal price erosion of over 25%, resulted in a 10% contraction in revenues for these markets.
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