A strong year for LTE adoption
TMT Telecommunications Predictions 2013
More than 200 operators in 75 countries will have launched an LTE network by the end of 2013, Deloitte predicts. By year-end LTE subscriptions should exceed 200 million, a 17-fold increase in just two years. About 300 LTE devices (smartphones, tablets and dongles) should be available by year-end, including a range of sub-$100 smartphones.
A note from the authors
A key question for operators across the globe remains how to encourage demand for LTE, both initially and over time. Two of the key levers are pricing and marketing.
• Carriers need to price LTE services, initially and over time, to encourage customers to take advantage of the newly built network while ensuring a return on their investment.
• In terms of marketing, operators need to strike a balance between underwhelming and over-selling, as there may not be any single new killer app in 4G which 3G cannot deliver. What will differ markedly, however, is user experience, and as a result duration and intensity of usage.
LTE isn’t the reinvention of cellular. It is not the transformational shift that was seen in the move from essentially voice-only 2G technology to voice and data 3G technology. It does not require the effort and cost in educating of the customer base that 3G entailed. It delivers more data, faster and often cheaper – characteristics which many are likely to find appealing and it is likely to encourage them to use mobile for more data applications, and more often, than was the case with 3G. Read the report to explore more.
In this podcast, the TMT Predictions 2013 co-authors explain a bit about LTE networks and what Deloitte predicts for 2013. What factors will contribute to LTE adoption? How will this prediction play out in varying markets around the world?
Duncan Stewart, Director of TMT Research, Deloitte Canada, and co-author of TMT Predictions.
Paul Lee, Head of Global TMT Research, co-author of TMT Predictions.
Stephen Heasley, Global Online Communications, Deloitte Touche Tohmatsu Limited