Infonetics: Ericsson leads mobile backhaul microwave gear market
Swedish telecom equipment firm Ericsson (NYSE: ERIC) leads the mobile backhaul microwave equipment market, the largest segment of the macrocell mobile backhaul equipment market, according to the latest stats from Infonetics Research.
At the same time, Ericsson is poised to enter the millimeter wave gear market and take on market leader BridgeWave.
The macrocell mobile backhaul equipment market rose 7 percent year-over-year in 2012, totaling more than $8 billion globally. Mobile backhaul equipment is the transport network used by mobile operators to connect cell sites to the core network.
"While its revenue growth rate is slowing, macrocell mobile backhaul equipment remains a huge market, with annual spending up in the $8 [billion] to $9 billion range over the next years. Just a few years ago in 2009, the market was worth under $5 billion," observed Michael Howard, principal analyst for carrier networks and co-founder of Infonetics Research.
Microwave equipment is predicted to make up 56 percent of mobile backhaul revenue by 2017.
Infonetics also predicted that the millimeter wave equipment market will double this year and reach close to $600 million by 2017, fueled by the increasing use of millimeter wave for LTE macrocell backhauls and small cells mostly in the unlicensed 60 GHz band.