4G Deployment Spurs Wireless Test Equipment Uptake in Asia
The wireless test equipment market in Southeast Asia, Australia and New Zealand is expected to grow at a double digit rate owing to the rapid commercialization of the 4G cellular wireless standards and the increasing number of 3G network deployments.
The proliferation of smart mobile devices has led to higher wireless data usage, affecting the traffic mix on networks. Therefore, test equipment vendors are looking to offer compatible testing solutions aimed at helping service providers manage their systems more intelligently.
New analysis from Frost & Sullivan finds that the market earned revenues of over US$312.8 million in 2011 and estimates this to reach US$921.1 million in 2017.
In emerging economies with high-growth domestic product (GDP) and an expanding population, upgrading 3G technology and commercializing future time-division long-term evolution (TD-LTE) and 4G network is critical to overcome data traffic. However, the increased complexity of testing the network poses a challenge to solution providers.
“As LTE technology is quickly moving toward deployment, it brings with it a new layer of complexity and challenges that require immediate attention,” said Frost & Sullivan Consulting Analyst Nguyen Huong. “It is important to test for quality of service and experience when the speed of data transmission varies.”
Turnkey solutions and supporting services add to the demand for improved wireless test equipment. Operators are looking for cost-effective and efficient real-time testing to manage traffic mix problems and improve the quality of services.
The market, therefore, relies heavily on the capital expenditure of service providers, which account for 60 percent of the demand for test equipment in the region. As a result, operators favor in-house solutions to meet their testing needs, impeding market growth.
“To stay ahead, leading companies as well as niche participants must offer integrated and comprehensive testing solutions that are backward compatible,” noted Huong. “Investing in developing advanced solutions that can solve complex issues will be the key to market expansion.”