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Global macrocell mobile backhaul equipment market reaches $8bn

Reliance Jio has signed an agreement with Indian telecom tower infrastructure provider Bharti Infratel

The global macrocell mobile backhaul equipment market rose seven per cent year on year to reach over $8bn in 2012, according to research firm Infonetics Research.

According to the firm, Ericsson is the mobile backhaul microwave equipment market leader. Meanwhile China’s Huawei and French-headquartered Alcatel-Lucent are neck and neck, jointly leading the ethernet access device/gateway and ethernet router revenue markets.

“While its revenue growth rate is slowing, macrocell mobile backhaul equipment remains a huge market, with annual spending up in the $8bn to $9bn range over the next years. Just a few years ago in 2009, the market was worth under $5 billion,” said Michael Howard, principal analyst for carrier networks and co-founder of Infonetics Research.

“When we add to the picture small cell backhaul equipment, which we believe will total a cumulative $5bn over five years it becomes clear that the backhaul market is massive. The key drivers are the ongoing HSPA/HSPA+ onslaught across the 3GPP world and growing LTE deployments by 3GPP2 players. If you don’t have packet backhaul, there’s no way to handle HSPA and HSPA+. Ethernet and microwave backhaul spending are fueling the whole market.”


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