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Home  Practice Areas Emerging Wireless Press Releases Point-to-Multipoint Technology Adoption Forecast to Grow Rapidly in Wireless Backhaul Market
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Point-to-Multipoint Technology Adoption Forecast to Grow Rapidly in Wireless Backhaul Market |
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Global Annual WBH Sales To Reach $2.4bn by 2007. Strongest Growth Seen in Asia-Pacific Region.
BOSTON (June 21st 2005) — Pioneer Consulting’s updated report, Wireless Backhaul 2005: Worldwide Market Opportunities in Cellular Markets, concludes that there will be steady demand for wireless backhaul solutions from mobile operators with sales of base stations and other networking equipment forecast to be around $2bn in each year to 2010. Backhaul is the network component that connects the subscriber access section of the network with its core switching and management elements. It accounts for about one-fifth of the overall mobile network cost.
A key dynamic within the WBH market is the increasing popularity of Point-to-Multipoint (PMP) solutions, instead of the traditional Point-to-Point (PTP) technology. This is because PMP wireless backhaul systems prove more cost effective in an expanding network as the initial cost of installing a PMP hub gets divided among an increasing number of remote links. PMP also offers the possibility of “dual use” i.e. a backhaul network which can partially offset its costs by connecting access customers at the same time.
However, PMP is not the only new technology seeking to achieve penetration in this market. Wi-Max also provides point-to-multipoint MAN (Metropolitan Area Network) broadband connectivity using base stations that service a radius of several miles. Wi-Max has the flexibility to support a variety of data transmission rates on a single channel that can support thousands of users. Commercial deployments are expected within the next two years.
“In developed markets where competition is already fierce, mobile operators are looking for ways to minimise the cost of network expansion,” said Julian Rawle, Senior Market Analyst at Pioneer Consulting. “In developing markets, there is the opportunity to “leap frog” the traditional leased line infrastructure used for backhaul and use a more cost-effective wireless solution instead.”
Pioneer looked at wireless backhaul market growth in different parts of the world and found that the Asia Pacific region is likely to be a major adopter of this technology with Europe also showing significant potential. However, the North American market will account for just six percent of the global wireless backhaul market by 2010 due to the well-established and cheap wireline infrastructure.
About Pioneer Consulting, LLC
Pioneer Consulting is a highly regarded international market research and analysis firm specializing in worldwide broadband telecommunications networks and technologies. Since its inception in 1997, Pioneer has rapidly become a trusted leader in providing high quality, objective analytical telecom research to many of the world’s major network equipment vendors, carriers, service providers, and financial institutions. For more information on Pioneer Consulting and its products and services visit the company’s Web site www.pioneerconsulting.com |
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