NEW YORK - Following the increasing number of telecom operators who switch their network to fourth generation technology (4G), HIS research firm iSuppli predicts that spending on infrastructure Long Term Evolution (LTE) will be sped up to USD27, 9 billion in 2014.
That's the latest research results published by iSuppli Cellular News, on Saturday (04/09/2011). That number increased much compared to USD1, 5 billion in 2010.
LTE infrastructure spending will begin in North America, who noted the contribution of USD90 million of total spending on global LTE 2009 (USD97 million). This year, North America was allegedly recorded the contribution of approximately $ 1, 7 billion from the prediction of global LTE infrastructure spending to reach $ 3, 8 billion.
But North American dominance will be reduced after 2011, along with the increasing popularity of LTE technology in other countries. In fact, iSuppli indicated that the North American contribution to global LTE expenditures only reached 20 percent.
"This spending reflects rapid growth in next-generation wireless technology. Yet at the same operators still have to support a number of air interface technologies for migration to 4G and LTE can not take place overnight," said Jagdish Rebello as senior director and principal analyst for communications and consumer electronics for the IHS.
"What will happen is that the operator will offer technology 2.5G, 3.5G and 4G to support all customers. As a result, semiconductor suppliers must focus on developing an effective infrastructure solutions that not only meets your current needs but also realize the 3G/3.5G technology migration plan toward 4G, "said Rebello.
Rebello added that a number of OEMs (original equipment manufacturers) have started promoting solutions that will support the older generation technology migration toward 4G. However, in the long run, this solution should be flexible enough to accommodate the changing needs of operators.
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