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Report: Wireless Backhaul Market to Grow Fivefold through 2014

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April 16, 2009

Report: Wireless Backhaul Market to Grow Fivefold through 2014

By Raju Shanbhag, TMCnet Contributor

A new study from ABI Research reportedly says that the global revenues from wireless backhaul leasing are expected to double over the next 30 months. The research firm is calling for a fivefold revenue increase in the market between 2009 and 2014.

In wireless backhaul, data is derived from an end user to a node in a major network such as the Internet or the proprietary network of a large business, academic institution or government agency. Wireless backhauling can also be used to transfer network data over an alternative wireless route when the normal route is unavailable or overtaxed.
According to ABI, over the last few years, the mobile operators have been preparing for an upgrade to LTE (News - Alert) and this has caused an increase in performance. Even though operators may not deploy LTE immediately, they will eventually have to upgrade their backhaul capacity, says the research firm.
“We have observed a movement towards backhaul as a managed service,” says ABI Research (News - Alert) Senior Analyst Nadine Manjaro. “This enables mobile operators to focus on their core business, while guaranteeing a backhaul capacity matched to their changing traffic demands. BT (News - Alert) provides that service to four of the top five European operators. In the United States, Embarq is moving in the same direction, and I think more cable companies will follow suit.”
The expenditure on microwave backhaul is also growing, says ABI. The company expects this growth to exceed $8.5 billion in 2009. The market opportunities generated by this growth in backhaul are spread around the backhaul equipment vendors and fixed line operators.
ABI Research’s new study, “Mobile Backhaul – Global Market Analysis and Forecast,” provides a comprehensive analysis of the global mobile backhaul market.
Recently, the company released a survey on mobile phone users’ age-related feature and price assumptions, which indicated that nearly half of the respondents in the 40 to 59 age bracket expect a touchscreen on a $50 mobile device. The company wanted to find out what features people have on their phones, and which are actually being used.

Don’t forget to check out TMCnet’s White Paper Library, which provides a selection of in-depth information on relevant topics affecting the IP Communications industry. The library offers white papers, case studies and other documents which are free to registered users.

Raju Shanbhag is a contributing editor for TMCnet. To read more of Raju’s articles, please visit his columnist page.

Edited by Michael Dinan

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