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Informa Telecoms & Media: 58% of mobile traffic generated from home environment by 2013. 8% will be offloaded over femtocells
[September 25, 2008]

Informa Telecoms & Media: 58% of mobile traffic generated from home environment by 2013. 8% will be offloaded over femtocells


(M2 PressWIRE Via Acquire Media NewsEdge)
RDATE:25092008

According to a new report from Informa Telecoms & Media "Mobile
Broadband Access at Home: The Business Case for Femtocells, UMA and
IMS/VCC Dual Mode Solutions", mobile traffic generated in the home
environment was estimated at 40% in 2007. By 2013 it is expected to
reach an overwhelming 58%. The Analyst firm expects Femtocells
deployment to help operators offload up to 8% of total mobile traffic
to fixed networks via end-user broadband lines.

The report finds that mobile voice minutes of use (MoU) in the home
environment will approach 42% of total mobile voice traffic by the end
of 2008. As the price gap between fixed and mobile calls narrows mobile
voice usage at home will gradually increase to reach 49% by 2013. The
office environment will come in second position with a 30% market
share, while only 9% of calls will be initiated on the move - when
walking, driving, or on the train or bus - and the remaining 21% of
calls will be generated from other public environments.

Mobile data usage is also expected to increase over the coming years,
thanks to the aggressive flat-rate data-plans pushed by mobile
operators, the rollout of mobile broadband networks and most
importantly the advances in mobile terminal software. In particular,
advanced user interfaces are leading to the proliferation of new type
of smartphones and mobile internet devices, including Apple's iPhone
and Google's G1.

2007 was a watershed year for operators in terms of their strategy
regarding the development of new non-voice services for their
customers. "While mobile operators continue to develop their own
services and strategies around applications such as music, games, TV
and video, there was a realisation during 2007 that a far greater
opportunity exists in providing unrestricted broadband access to the
Internet" said Malik Saadi, Principal Analyst at Informa and lead
author of the report.

"In the same way that voice traffic has moved from old fixed line
telephony service PSTN to mobile, there is reason to believe that a
significant percentage of Internet traffic generation will move away
from fixed personal computers to mobile devices including mobile
handsets, mobile Internet devices (MIDs) and connected notebooks" he
continued.

These strategies are starting to pay off with the leading mobile
operators seeing data revenues surpassing 40% growth in 1H 2008
compared to the same period last year. Australia's Telstra for example
announced its non-SMS data revenues have jumped 84% to Aus $360 million
in 1H08 from Aus $196 million recorded for the same period last year.
Verizon Wireless recorded 49% year on year data revenue growth in 1Q08
and AT&T 57%. At the same time mobile data traffic is surging with
operators now recording growth ranging from 120% to 250% over their
networks. However, Informa Telecoms & Media has estimated that annual
revenues generated by 1 PetaByte of data traffic will decrease by a
factor of 4.9 by 2012 to reach US$125 million - down from US$612
million in 2008.

In 2008, the home environment will already be responsible for more than
43% of total mobile data traffic but this traffic is expected to
predominate with an overwhelming 60% by 2013. The growth will be driven
by users increasingly initiating longer and richer data sessions in the
relaxed environment of their home, through browsing the internet,
watching longer and richer video clips, downloading music and video
content, exchanging pictures, or using VoIP and on-line chatting.

"This does not mean that mobile broadband services will fully
substitute fixed broadband, but users will prefer to keep some
applications on their mobile or portable devices since these offer
greater privacy" said Malik Saadi.

In order to cope with the explosive mobile data traffic growth,
operators have invested heavily in offering better 3.5G+ coverage in
busy urban areas. However, these areas are also data-hungry hotzones,
where the majority of smartphone and connected notebook users reside,
so this will eventually result in overloaded networks and low bandwidth
per user. In addition, as the 3G/3.5G+ signal travels away from the
base-station or penetrates thick concrete walls in residential or
business environments, the received signal strength deteriorates
considerably, resulting in a significant drop of bandwidth in
inbuilding environments, which could in turn affect the overall user
experience.

Mobile operators have a vested interest in ensuring that call
connection, call quality, and mobile broadband capabilities are as high
as possible in the home environment. Mobile Broadband Access at Home
clearly shows that, if implemented properly, mobile access at home
(MAH) solutions including femtocells, UMA/dual-mode, VCC/dual-mode, and
alternative technologies have the potential to help mobile operators
offload a substantial part of mobile traffic to the subscriber fixed
line. This could potentially lead to significant savings by relaxing
network capacity upgrade requirements while enabling considerable


improvement in both coverage and capacity of mobile broadband access in
the home environment.

About Mobile Broadband Access at Home:


The Business Case for Femtocells, UMA and IMS/VCC Dual Mode Solutions
http://telecoms.msgfocus.com/c/1h780rQ8AnQ60dJhM

Mobile Broadband Access at Home strategic report provides you with a
complete deployment, traffic and cost analysis and evaluates the
business case for different solutions of mobile access at home.

This report is packed with invaluable market intelligence:

* Detailed and granular market forecasts to 2013

* An invaluable insight into deployment scenarios of femtocells and
alternative technologies to support different mobile network
technologies

* In-depth trend analysis

* Independent case studies

* Expert future outlook

* Detailed operator and vendor profiles

Download a table of contents here:
http://telecoms.msgfocus.com/c/1h782K3jtDGWi6Fmd

About Informa Telecoms & Media

http://telecoms.msgfocus.com/c/1h787ktFg9oCRSxv5

Informa Telecoms & Media is the leading provider of business
intelligence and strategic services to the global telecoms and media
markets. There are two key strands to Informa Telecom & Media's
business:

Providing business critical information

Informa Telecoms & Media produce and distribute business information
products using innovative formats and powerful channels that meet the
real business needs of their customers. Informa Telecom & Media's
research services, reports and consultancy guides the decisions of over
10,000 leading decision makers.

Creating communities

Informa Telecoms & Media works to actively foster and empower the
communities it works with, assisting in debating and sharing best
practice, solving problems and stimulating innovation. From magazines
to online information portals, from large exhibitions to intimate
networking lunches at focused conferences, Informa Telecoms & Media
bring the industry together to enable progress within the dynamic
telecoms and media markets.

CONTACT: Malik Kamal-Saadi, Informa Telecoms & Media
Tel: +44 (0)207 017 5452
e-mail: [email protected]
Lucy Powell, PR Manager, Informa Telecoms & Media
Tel: +44 (0)207 017 6597
e-mail: [email protected]

((M2 Communications Ltd disclaims all liability for information
provided within M2 PressWIRE. Data supplied by named party/parties.
Further information on M2 PressWIRE can be obtained at
http://www.presswire.net on the world wide web. Inquiries to
[email protected])).

Copyright ? 2008 M2 Communications Ltd.

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