[November 11, 2010]

Mobile Backhaul to Help Drive Upper Millimeter Market, New Visant Strategies Report Finds

Continuing deployments of 3.5G and 4G mobile networks is driving upper millimeter radio sales, according to a new study from Visant Strategies. 3.5G and 4G build-outs in the near future, the study finds, will require 1 Gigabit and more of backhaul capacity between network aggregation points, leading to upper millimeter radio deployments for backhaul.

"The E Band is an attractive alternative for backhaul in urban and near urban environments when hundreds of megabits per second or more of capacity is needed," said Andy Fuertes of Visant Strategies. "There is insufficient availability of lower PTP frequencies to carry backhaul capacity that is equal to E band, especially when the bar is placed at 1 Gigbit per second. 3G base stations and aggregation points, in many cases, fall within the range of E band in urban and near urban areas and this trend will continue with dense HSPA plus, mobile WiMAX (News - Alert) and LTE deployments."

According to "Upper Millimeter 2011: Success in Mobile, Private and Public Safety Wireless," E band radio shipments will grow five-fold between 2010 and 2016 with E band and 60 GHz radio revenues reaching over $500 million in 2016. 60 GHz radio shipments will also grow roughly five-fold due to an increased use in private enterprise and government networks, among other market segments.

"60 GHz radios will do well in private and public safety wireless networks," said Larry Swasey of Visant Strategies. "Upper millimeter radios on all fronts have improved greatly on price and performance the last decade as well, helping drive the market."

The report examines 3.5G and 4G deployments, 3.5G and 4G users and regional mobile trends which will lead to the use of upper millimeter radios. Included are shipments and revenues by region through 2016 of E-band and 60 GHz band radios as well as ASPs. Both radio segments are also broken down through 2016 by shipments/revenues per application, such as mobile backhaul, private enterprise, public safety and government and last mile access, among others.

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