LTE Revenues Expected to Grow 8-Fold by 2016

Dell’Oro Group forecasted The Mobile Radio Access Network (RAN) LTE equipment market at a compound annual growth rate (CAGR) of more than 50 percent over the next five years.

Stefan Pongratz, analyst at Dell’Oro Group said “The success with early adopters in North America, Japan, and South Korea is driving operators around the world to commit to LTE and reap the benefits of improved efficiencies, latencies, throughputs, and to ensure a future-proof roadmap.”

“It has been only 18 months since the first large scale commercial deployment of LTE and it is already generating more than 15 percent of total RAN revenues,” continued Pongratz.

This report also suggested that the growth in mobile broadband will eventually offset declining investments in CDMA/GSM/WiMAX.

The total Mobile RAN market, macro and public access small cells, is expected to grow at a CAGR of two percent between 2011 and 2016. The public access small cell market is expected to generate significant revenues in the outer years of the forecast period and account for nine percent of all RAN revenues in 2016.