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February 13, 2008

New Technologies Foster the Growth of the Global Wireless Test and Measurement Industry

By Anshu Shrivastava, TMCnet Contributor

The world wireless communications test and measurement market continues to witness strong growth aided significantly by the introduction of new technologies such as W-CDMA/HSDPA, HSUPA, TD-SCDMA and CDMA2000 1xEV-DO, according to a new report from Frost & Sullivan (News - Alert), 360 Degree CEO Review of the Global Wireless Test & Measurement Industry.
This latest analysis states that, while 3G technology has been playing a vital role in the progress of this market, HSDPA and HSUPA is expected to enhance market value and growth in the future.
Also, the analysis findings state that the world wireless test and measurement equipment market earned revenues of $2.6 billion in 2006, and estimates this to reach $5.5 billion in 2013.
“The implementation of third-generation wireless networks and services along with a need for enhanced applications such as gaming, video, and music download provides significant growth opportunities for the global wireless test and measurement equipment market,” S. Vidyasankar, senior research analyst at Frost & Sullivan, noted in a statement. He also predicted that the growing demand for high-speed internet is also likely to spur growth.
The new analysis observes that the emergence of new technologies such as 3G, and also existing applications such as video streaming, voice and data transfer has boosted the growth of the mobile equipment manufacturers (MEMs) end-user segment.
In addition, the demand for base station and air interface test equipment from service providers has been on the rise because customers request new features on a constant basis, as per the analysis findings.
The analysis projects that in 2013, the network equipment manufacturers (NEMs), MEMs, mobile communication service providers (MCSPs) and others are expected to reach 20.0, 29.8, 40.8 and 9.4 percent of the market, respectively.
Additionally, the R&D application segment is expected to witness uninterrupted revenue growth due to the emergence of new technologies such as HSDPA and HSUPA.
Also, the installation and maintenance (I&M) application segment will witness continuous growth rates in the future, especially with 3G technologies being rolled out and the increasing number of new technologies emerging in the marketplace, according to the new Frost & Sullivan analysis.
“However, growing network complexity along with emerging technologies and evolving standards are likely to challenge test vendors,” noted Vidyasankar.
He also observed that while propelling growth in the wireless industry, new technologies such as 3G, 3.5G, and 4G are also pressurizing vendors to develop and deploy test equipments that keep pace with industry advancements.
The analysis suggests that test vendors will have to invest in R&D to introduce new products that will be in tune with the technological advancements in the market place.
Also, active participation and association with industry organizations and different standards organizations such as the WiMAX forum will help vendors understand and keep pace with emerging technologies, according to the analysis.

Don’t forget to check out TMCnet’s White Paper Library, which provides a selection of in-depth information on relevant topics affecting the IP Communications industry. The library offers whitepapers, case studies and other documents which are free to registered users. Today’s featured white paper is The “BRAIN” Model of Intelligibility in Business Telephony, brought to you by Polycom (News - Alert).

Anshu Shrivastava is a contributing editor for TMCnet. To read more of Anshu’s articles, please visit her columnist page.

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