Around 34 million users to benefit from it

Jun 17, 2009 08:51 GMT  ·  By

According to a recent report published by ABI Research, a number of at least 12 mobile phone operators all around the world are expected to deploy LTE (Long Term Evolution) networks and to start offering LTE-based services to their users next year. In addition, the study also points towards a number of around 34 million users who are expected to subscribe to the new data services, so as to benefit from speeds similar to those offered by cable or DSL.

“Spectrum availability is the primary factor impacting deployment plans,” comments senior analyst Nadine Manjaro. “In countries where telecommunications regulators are making appropriate spectrum available, many operators have announced plans to launch LTE. These include the US, Sweden, China, and others. Where no such spectrum allocations exist, operators are postponing LTE plans.”

It seems that the first wireless operators that will launch their LTE networks in the US are Verizon Wireless, MetroPCS Wireless, and U.S. Cellular. In addition, carriers like NTT-DOCOMO and KDDI in Japan, or TeliaSonera, Tele2 and Telenor in Europe will also deploy similar networks, while KT and SK Telecom are expected to launch their LTE services in Korea in 2010, though they haven't talked too much about it. In addition, China Mobile, the largest operator in the world, also plans to deploy LTE in 2011.

For what it's worth, it seems that infrastructure equipment vendors will greatly benefit from the move towards LTE. For example, Alcatel-Lucent, Ericsson, and Starent are the companies that won a major set of contracts from Verizon Wireless. At the same time, Ericsson was also chosen to supply equipment for NTT-DOCOMO in Japan, and is supporting local vendors NEC and Fujitsu. TeliaSonera partnered with Ericsson and Huawei, while Tele2 and Telenor are expected to choose Huawei as equipment supplier.

The operators are looking for strong partners,” Manjaro says. “Operators want to know their vendors be staying in business, that they’ll have the equipment ready early, and that they are financially strong enough to collaborate in developing new services and solutions.” Those who would like to learn more on the ABI Research report can find it on the company's site.