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January 12, 2009

LTE market to grow despite recession

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by David Allen

Over 18 telecoms operators around the world plan to deploy LTE networks, with most operators unperturbed by the global economic turmoil, a report on LTE by ABI Research has revealed.

Verizon, for example, is one of several carriers to bring its LTE deployment timetable forward, with launch expected later this year instead of in 2010.

Japan-based operator NTT is also expected to deploy LTE in 2009.

Many other operators are anticipating a 2011-2012 launch, by which time they hope that much of the current economic trouble will be over.

ABI Research estimates that $8.6 billion will be spent on LTE base-station deployment by 2013.

Senior ABI analyst Nadine Manjaro said that for operators that have already deployed 3G, LTE will be a key CapEx driver over the next five years.

LTE application development will also attract investment, as operators work out which services to deploy on LTE networks.

US-based carriers Sprint and Verizon have both pledged to allow third-party access to their GPS data.

Manjaro believes that the resulting applications will be a fusion of mobility and presence aspects.

This will create ‘more compelling services’ than in the past, Manjaro concluded.

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