Taipei, Thursday, November 23, 2017 13:54 (GMT+8)
cloudy
Taipei
17°C
Digitimes Research: LTE broadcast to become a new area for growth in the long term
Benson Wu, DIGITIMES Research, Taipei [Tuesday 24 June 2014]

In mature telecom markets, most carriers have faced saturation in customer bases and slow revenues growths in the past five years. The top-4 carriers in the US, Verizon, AT&T, Sprint and T-Mobile, together only achieved total revenues growth of US$24.4 billion from 2008-2012 with a CAGR of 2.28%, implying that increasing customer numbers should no longer be the focus of the mature telecom markets. The focus instead must be on increasing the value to be contributed by customers, according to Digitimes Research.

The 4G LTE era has seen significant improvements to transmission speeds with the fee rates for related services also seeing structural changes. As mobile multimedia services are able to create high data transmission flows, the LTE broadcast business, which allows telecom carriers to be the main host of the services, has attracted much interest in the telecom sector.

Digitimes Research believes the LTE broadcast business will have three major advantages in terms of development. First, it is 3GPP's evolved-multimedia broadcast multicast services (eMBMS) standard, which is able to enhance spectrum utilization and supports up to 20MHz.

The second is that LTE broadcast services are able to optimize spectrum usage by distributing spectrum resources based on telecom network's loading. The third is the support of multimedia codecs such as HEVC and MPEG-Dash to help reduce loading on network bandwidths and strengthen usage experience.

The fee rates for 4G services, which are based on the transmission volumes, should benefit from the surging data flow demand and start contributing revenues to carriers. As more countries will start commercial LTE network services, the potential the LTE broadcast business has started gaining much attention.

Among the telecom carriers worldwide, only Korea Telecom (KT) started offering commercial LTE broadcast services in January 2014, while others are mostly still conducting pilot runs because such services require coordination between hardware, the mobile network, and content supply.

Although equipment suppliers are aggressive about such a business opportunity, telecom carriers remain cautious. Therefore, Digitimes Research believes that for the LTE broadcast business to grow to a large-scale commercial sector it will still take some time. For many telecom carriers, it is in their medium- to long-term plans.

Content from this article was part of a complete Digitimes Research Chinese-language report that has not yet been translated into English. If you are interested in an English version of the report or wish to receive more information about the report, click here to contact us and we will get back to you as soon as possible. Digitimes Research also provides quarterly tracking services for market sectors such as Global Tablet, China Smartphone, China Smartphone AP, Taiwan ICT and Taiwan FPD. Click here for more information about Digitimes Research Tracking services.

Realtime news
  • MediaTek sells partial stake in Goodix

    Bits + chips | 9min ago

  • China firm starts equipment move-in at DRAM fab, says report

    Bits + chips | 10min ago

  • Flat panel demand to grow 7.2% in 2018, says IHS Markit

    Displays | 1h 37min ago

  • Global Unichip opens new office in Nanjing

    Bits + chips | 1h 55min ago

  • Single's Day highlights China e-commerce smart logistics

    IT + CE | 2h 6min ago

  • Taiwan market: Oppo launches R11s

    Mobile + telecom | 2h 17min ago

  • Epistar to increase VCSEL wafer output in 2018

    LED | 2h 22min ago

  • North American semi equipment industry billings fall for 4th consecutive month

    Bits + chips | 2h 41min ago

  • Taiwan October unemployment down

    Bits + chips | Nov 22, 19:43

  • Everlight makes loss selling Epistar shares

    Before Going to Press | Nov 22, 20:59

  • Largan to benefit from smooth shipments of iPhone X

    Before Going to Press | Nov 22, 20:55

  • Digitimes Research: 45 million Level 1, 2 autonomous vehicles worldwide by 2020

    Before Going to Press | Nov 22, 20:02

Pause
 | 
View more
Innodisk
Global AP demand forecast, 2017-2020
Global notebook shipment forecast, 2017 and beyond
  • China AMOLED panel capacity expansion forecast, 2016-2020

    This Digitimes Research Special Report examines the China AMOLED industry, focusing on the expansion capacity of the makers, the current implementation plans of major smartphone vendors in the market and the technological hurdles faced by the China makers.

  • Taiwan server shipment forecast and industry analysis, 2017

    Digitimes Research estimates that revenues from sales of server motherboards, servers, storage systems and related network system equipment by Taiwan-based vendors reached NT$555.8 billion in 2016 and the amount is estimated to grow 5.9% on year in 2017.

  • Global notebook shipment forecast, 2017 and beyond

    This Digitimes Special Report examines key factors in the notebook industry, including products, vendors and ODMs, that will affect total shipments in 2017 and through 2021.