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INDUSTRY NEWS


21 May 2008

Enterprises 'driving mobile broadband growth'


The market for mobile broadband modems is to enter a new stage of growth, driven primarily by growing interest among enterprises and more cost-effective consumer solutions, new research has indicated.

According to Dutch analyst Telecompaper, sales of 3G HSPA (High Speed Packet Access) mobile broadband modems will increase by an annual rate of 32 per cent through to 2012, with growth spread across PC Cards, ExpressCards, USB modems and mobile chips.

The number of units shipped in Western Europe is expected to increase from 4.3 million units in 2007 to 17 million in 2012. Telecompaper also predicted that increased demand for mobile broadband would open up new opportunities for lower margin device manufacturers across Europe.

It noted that the strongest growth is likely to be seen in the Nordic countries, Greece, the Netherlands and Switzerland, forecasting that embedded modem shipments will exceed those of external modems by 2011.

Telecompaper estimates there were 5.8 million mobile data modem subscribers in Western Europe in 2007, with 70 per cent based in the UK, Germany, Italy and Austria.

A report from ABI Research has indicated that growing use of mobile broadband services will force network operators around the world to invest $850 million (£432 million) into 4G base station gateways and Fixed Mobile Convergence (FMC) equipment by 2013, to ease the network load.

© 2006 Adfero Ltd.

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