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However it is access to email, web browsing/search, online shopping and social networking that will be the most used consumer services, with usage growth of 15%-25%. According to Ovum’s survey of currently active 3G users undertaken for this report (28% of whom use mobile broadband as their exclusive means of consumer broadband access), LTE will stimulate the greatest growth in demand for video and media services (35%-40%). The lower latency and higher capacity access inherent in LTE will reduce functional delays and render a wide range of applications and services more accessible. Similarly, the availability of high quality content – including audio and video – will drive a significant increase in data traffic.
Key findings: New services & devices drive traffic growth A new generation of icon-based mobile devices has already stimulated demand for mobile broadband, which is increasingly being used as a fixed broadband substitute. Schematic representation of LTE ecosystem. The report confirms that these initiatives are benefiting from strong cross industry support. LTE standards are already being implemented by chipset vendors, and early pre-standard chipsets and devices are being used in interoperability and performance trials. All major systems vendors have LTE product roadmaps, and these companies are engaged in technology trials in line with their market and company strategies. In the longer term, LTE – together with major business transformation by operators – will provide an environment that allows capital and operational cost reductions in an increasingly competitive market. This will allow them to take advantage of performance improvements in the radio access network and the service and operational benefits of an all-IP core network. Many major operators have already declared their intent to deploy LTE as the ultimate stage of 3G Evolution. Supported by a healthy ecosystem, LTE will also see the emergence of dynamic new business models not hitherto seen in the mobile space.Ĭross-industry momentum gathers pace The report confirms widespread commitment and co-ordination across the industry, with most leading mobile network operators planning to deploy LTE. LTE will be characterised by a complex ecosystem that includes not only operators, infrastructure providers, terminal vendors, standard bodies and regulators, but also chipset manufacturers, application developers, content platform providers and consumer electronics vendors. This evolution from a ‘traditional’ mobile ecosystem to embrace new internet-based applications, devices and content delivery mechanisms will see the emergence of a broader ecosystem than for any previous mobile technology. In this new environment, non-voice mobile services – including real-time video, P2P content sharing and social networking – will be increasingly important. LTE will enhance many existing services while enabling new ones. In parallel with this, LTE allows operators to deliver a more compelling, service-rich mobile broadband user experience for consumers and business customers alike. Designed for all-IP traffic, LTE supports a flatter, more efficient network architecture that allows operators to reduce their long term capex and opex. Offering major enhancements in speed, capacity and support for new services, LTE will dominate the global market for mobile broadband over the next few years.
A significant first step in understanding the critical enablers for LTE, the report is intended to serve as the foundation for further studies by the UMTS Forum.
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Gauging levels of readiness in the industry as a whole, the report also provides a series of recommendations to operators, vendors and regulators that will help promote successful LTE deployments. It considers both consumer and enterprise market segments, as well as vertical markets that will benefit from the deployment of LTE.
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The study is based on over 30 interviews by Ovum with operators, vendors, regulators and standards bodies, plus end user research with 550 respondents in the US, Korea, Japan, Germany, France, Italy, the UK and Spain.
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The report – titled “LTE Mobile Broadband Ecosystem: the Global Opportunity” and produced by global consulting firm Ovum with inputs from UMTS Forum project team members – offers detailed analysis and insight into key issues shaping tomorrow’s mobile broadband ecosystem.Īvailable free of charge to UMTS Forum members, the report explores key success factors, enablers, challenges and risk factors that will determine the global market success of 3G LTE (Long Term Evolution). Industry will be ready for LTE, says UMTS Forum reportĪ major new report from the UMTS Forum presents a positive picture of LTE’s transformation of the global market for mobile broadband. New study investigates tomorrow’s LTE mobile broadband ecosystem
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