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Mobile Operators Leaning on Satellite

15 января 2007
A new report keeping close tabs on fixed C- and Ku- band offerings for the cellular backhaul via satellite market sees the market topping $157 million within the next five years. The study, released by NSR, offers a glimpse into forecasts for transponder demand, lease revenues and site and equipment growth in all markets.

Providing an in-depth look at different trends across five regions worldwide, Cellular Backhaul via Satellite: Extending the Reach of Mobile Networks says mobile operators in developing markets are increasingly turning to satellite backhaul as a key infrastructure component to the operations of voice and data networks.

"Satellite players have improved their offerings in recent years and are well-positioned to quickly deploy scalable solutions that help mobile operators support the growth that will double backhaul expenditures by the turn of the decade," said Claude Rousseau, NSR analyst and author of the report. "Cellular backhaul is no different in that satellites build on this legacy to offer an important link that supports the growth in mobile networks."

The study says that although satellite can help cellular operators by overcoming geography, low population density, high capital expenditures and small market sizes the industry is often tainted by a negative perception that its megabit per second price is high relative to fiber and microwave solutions. Rousseau says that further improvements have actually brought the cost per Mbps of satellite connections in the general market range with other solutions.

NSR estimates that C-band transponder leases will dominate the satellite-based cellular backhaul market and grow incrementally from now until 2011. Key regions in the study include the Middle East and Africa, Asia and Latin America where the majority of users leap directly to mobile telephony services instead of fixed landlines.


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