LTE to account for 4% of world’s mobile connections by 2015
300 million LTE connections forecast by 2015 led by growth in major Asia Pacific markets
The introduction of LTE networks reflects the move the telecoms industry is making towards delivering cloud-based and converged services, and an improved user experience. Our latest forecasts show that LTE is being adopted by operators across the globe, but the pace of migration will be faster in countries where mobile broadband is on the political agenda and favourable regulatory developments are taking place – especially with regards to spectrum. However, creating a profitable ecosystem around the new networks will take time and it may take a few years for LTE services to live up to the hype. Subscriber uptake of LTE is initially being driven by demand for data-centric mobile broadband services, typically accessed via USB dongles and embedded devices for which operators will charge a premium. We predict that the introduction of voice over LTE (VoLTE) by around 2012 will mark the 'tipping point' for mass-market LTE handset volume shipments, which will accelerate LTE connections growth. However, premium price points and limited availability means that we will see low LTE handset penetration in the short term.