ABI Research related Press Releases

2009 Femtocell Shipment Numbers Cut by 55%

Phil Goldstein — Thu, 12 Nov 2009 11:42:52 -0500

FOR IMMEDIATE RELEASE

2009 Femtocell Shipment Numbers Cut by 55%

LONDON - November 12, 2009 -

In an update to an April 2009 femtocell shipments forecast, ABI Research has scaled down its estimates, reflecting the slower-than-expected adoption of femtocells by mobile operators. The number of shipments forecast in April for 2009 - 790,000 - has been adjusted by about 55%. ABI Research now believes that only about 350,000 femtocells will have shipped by the end of the year.

"Even femtocell vendors are a bit surprised that the operators haven't pushed femtocells as much or as soon as expected," says practice director Aditya Kaul. "We expect that deployments in 2010 will pick up but will be slower than expected - our data suggests about a 40% reduction on previous estimates."

All the large operators in the US have femtocell offerings including AT&T, Verizon and Sprint. Vodafone in the UK also has a femtocell service and recently China Unicom announced its femto offering.

Still the pace of adoption has been slow. Why? Carriers are tight-lipped about their reasoning. While some observers say femtocells have yet to prove their value, Kaul points to a combination of other factors: the general economic malaise, which makes the $150 pricetag of an unsubsidized femtocell harder to swallow; the time operators need to get their systems and networks ready for a femtocell deployment and to devise innovative pricing plans; a fear in some quarters that a rapid increase in femtocell numbers would cause interference in the macro network.

Kaul concludes: "We still believe in this market's potential. We anticipate that by 2014, shipments will only be about 10% lower than our previous estimates. The drivers are real, but it will take longer than anticipated. Next year will be critical: if conditions don't improve by the end of 2010, some smaller vendors may find themselves in trouble."

ABI Research's "Femtocell Market Data" provides a biannual update to the core forecasts included in the firm's Femtocells Research Report. This forecast mirrors the one included in that report and is designed to incorporate all major changes in the market over the previous six months. Such an update is extremely important given the rapid changes in the femtocell market.

It is part of the Femtocells Research Service.

ABI Research provides in-depth analysis and quantitative forecasting of trends in global connectivity and other emerging technologies. From offices in North America, Europe and Asia, ABI Research's worldwide team of experts advise thousands of decision makers through 27 research and advisory services. Est. 1990. For more information visit www.abiresearch.com, or call +1.516.624.2500.

Contact: Christine Gallen | Tel: +44.20.7096.1594 | Fax: 516-624-2501 | pr@abiresearch.com

Wi-Fi-Enabled Phone Shipments Continue to Double Every Two Years

Phil Goldstein — Wed, 26 Aug 2009 11:40:13 -0400

Contact: Christine Gallen | Tel: +1 516.624.2542 | Fax: 516-624-2501 | pr@abiresearch.com
To setup a briefing with an ABI Research analyst on this subject, click here.

NEW YORK - August 26, 2009 -

In February 2009, ABI Research found that dual-mode cellular/Wi-Fi handset shipments were set to double between 2008 and 2010. With the latter date fast approaching, ABI Research analysts have confirmed that a similar pattern will hold true - or even accelerate - for the period 2009-2011. This year is on track to see 144 million handsets shipped, with forecasts for 2011 at just over 300 million.

"Wi-Fi's penetration into handsets has more momentum than the bad economy," says industry analyst Michael Morgan. "It has become a must-have item much as Bluetooth did earlier. But just having Wi-Fi in the handset isn't enough. You have to have a reason for customers to use it. Until now it has been predominantly for data use, with voice struggling to find its niche."

However mobile operators' attitudes to Wi-Fi have been changing. At first many feared that Wi-Fi would take traffic off their networks, resulting in lost revenue. Now they're starting to realize that it may instead mean an increase in available network capacity.

How operators view Wi-Fi is largely a function of their particular circumstances, says Morgan. "Verizon has not enthusiastically embraced Wi-Fi in its handsets, while AT&T has. AT&T was thrown into the pool by the iPhone. Previously people did access data, but the iPhone led people to use Wi-Fi to a degree never seen before. Traditionally cautious Verizon hasn't been thrown into that situation yet, but they are warming up to Wi-Fi."

Wi-Fi's benefits depend on a carrier's circumstances too. Consider T-Mobile: a wireless carrier that owns no landline assets. It used Wi-Fi (via ‘Hotspot at Home' access points) to deliver an improved in-home service that it couldn't achieve before. In contrast, AT&T does have landline assets. Here Wi-Fi's benefit is to take a load off AT&T's cellular network.

"The picture may be unique to each carrier," Morgan concludes, "but in the end Wi-Fi can offer most operators those two key benefits: extended reach and/or network load reduction."

ABI Research's "Wi-Fi Capable Handsets" examines the market opportunities and provides forecasts for Wi-Fi from a handset-based perspective, focusing on drivers, barriers, and competing technologies.

It forms part of four ABI Research Services: Business Mobility, Mobile Devices, Wireless Healthcare, and Wi-Fi.

ABI Research provides in-depth analysis and quantitative forecasting of emerging trends in global connectivity. From offices in North America, Europe and Asia, ABI Research's worldwide team of experts advise thousands of decision makers through 25 research and advisory services. Est. 1990. For more information visit www.abiresearch.com, or call +1.516.624.2500.

A Dozen Operators Launching LTE Services in 2010

Phil Goldstein — Tue, 16 Jun 2009 10:41:02 -0400

NEW YORK - June 16, 2009 -

The tally of wireless operators committed to deploying LTE (Long Term Evolution) networks and offering LTE-based services to their subscribers in 2010 has climbed to at least 12, according to a major new study from ABI Research. By the following year nearly 34 million users worldwide are forecast to subscribe to the new ultra-fast data services, which promise speeds rivaling those available via cable or DSL.

"Spectrum availability is the primary factor impacting deployment plans," comments senior analyst Nadine Manjaro. "In countries where telecommunications regulators are making appropriate spectrum available, many operators have announced plans to launch LTE. These include the US, Sweden, China, and others. Where no such spectrum allocations exist, operators are postponing LTE plans."

The first operators intending to deploy LTE include Verizon Wireless, MetroPCS Wireless, and U.S. Cellular in the United States; NTT-DOCOMO and KDDI in Japan; TeliaSonera, Tele2 and Telenor in Europe; and the world's largest operator, China Mobile, which intends to launch in 2011. KT and SK Telecom are expected to launch in Korea 2010, but there has been little fanfare so far.

These commitments are good news for the infrastructure equipment vendors. A few operators have already announced the contracts they have awarded. Alcatel-Lucent, Ericsson, and Starent are the winners of a major set of contracts from Verizon Wireless. In Japan, NTT-DOCOMO, in addition to tapping the world's largest network infrastructure supplier, Ericsson, is also supporting local vendors NEC and Fujitsu.

TeliaSonera has chosen Ericsson and Huawei, while its fellow Scandinavian operators Tele2 and Telenor are also thought likely to settle on Huawei, which is proving a formidable competitor.

"The operators are looking for strong partners," says Manjaro. "Operators want to know their vendors be staying in business, that they'll have the equipment ready early, and that they are financially strong enough to collaborate in developing new services and solutions."

"LTE - GSM Long Term Evolution" provides insight into a number of operators' strategies, vendor solutions, frequency bands used and latest development in the IPR analysis. A list of all operators with defined LTE plans is also included, along with potential CAPEX spending and a variety of forecasts.

The report is part of the Mobile Networks Research Service.

ABI Research provides in-depth analysis and quantitative forecasting of emerging trends in global connectivity. From offices in North America, Europe and Asia, ABI Research's worldwide team of experts advise thousands of decision makers through research and advisory services in seven key practice areas. Est. 1990. For more information visit www.abiresearch.com, or call +1.516.624.2500.

Wireless Communications Sector Will Reap Huge Benefit from $6.8 Billion Stimulus Bill Funding

Phil Goldstein — Tue, 26 May 2009 11:30:10 -0400

NEW YORK - May 26, 2009 -

The American Recovery and Reinvestment Act (ARRA, also known simply as the Stimulus Bill) will provide funding for a massive $6.8 billion worth of wireless communications upgrades and new deployments over 2009-2010. The Act offers a significant one-off opportunity for wireless equipment vendors, an opportunity that is examined in depth by a new study from ABI Research.

"The ARRA represents a windfall for wireless service providers as well as for satellite service providers," comments vice president Stan Schatt. "It will have an enormous impact on Wi-Fi and wireless broadband vendors. It will also immediately benefit a number of specific vertical industries including healthcare, education, homeland security, the environment, and the nation's electricity infrastructure."

In healthcare, the scope for adding wireless to the technology mix encompasses Wi-Fi-enabled mobile devices and sensors, communications systems linking health networks, telepresence, wireless LAN equipment, and Wi-Fi-enabled video surveillance systems.

In education, already a leading adopter of Wi-Fi solutions, equipment vendors are developing templated solutions in such areas as WLANs for "learning anywhere," voice-over-Wi-Fi, and WLAN equipment and software to track students' progress for "No Child Left Behind" record keeping.

The Department of Homeland Security and US Customs and Border Protection are potential goldmines for wireless vendors because of the many agencies within them that will use ARRA funds for tactical communications equipment, infrastructure equipment, and security equipment. Even critical infrastructure construction projects such as bridges and tunnels often require wireless video surveillance systems.

In fact, notes Schatt, "Many of the spending opportunities lie ‘under the surface'. A civil engineering project which seems mainly about concrete and steel may actually benefit from a lot of wireless technology. And because vendors can't apply for funds themselves, they are - and should be - doing everything in their power to help their customers do so."

ABI Research's "The 2009 Federal Stimulus Bill" is a comprehensive report which examines the ARRA funds most appropriate for wireless solutions on a federal department-by-department basis. It discusses the types of partnerships necessary to fill product gaps as well as the opportunities to take advantage of ARRA "green" funding.

It is a component of the firm's Wi-Fi Research Service.

ABI Research provides in-depth analysis and quantitative forecasting of emerging trends in global connectivity. From offices in North America, Europe and Asia, ABI Research's worldwide team of experts advise thousands of decision makers through research and advisory services in seven key practice areas. Est. 1990. For more information visit www.abiresearch.com, or call +1.516.624.2500.

For Wireless Handsets, 2010 Will Be the Year the Bleeding Stops

Phil Goldstein — Thu, 26 Mar 2009 10:41:40 -0400

NEW YORK - March 26, 2009 -

No matter who you ask, the assessment is the same: 2009 will be a bad year for cellular handset sales worldwide. However ABI Research's current forecasts for 2010 are cautiously optimistic - if by optimism you mean that we may see shipment numbers stabilize and maintain an essentially flat growth rate rather than falling further.

"ABI Research estimates that worldwide handset shipments will fall by at least 8% in 2009," says practice director Kevin Burden, "and we believe that flat growth in 2010 is the best the market will deliver. We will see neither significant growth nor decline in shipments, and that would actually be a good outcome: the beginning of the upswing back to a more stable growth pattern."

Even if global shipment numbers hold steady at essentially 2009 levels, there will be regional variations. Some regions such as the Middle East and Africa will fare comparatively better, but volumes there are quite low.

The Asia-Pacific region will suffer most in 2009, primarily as a result of its huge volume of shipments - roughly triple the next largest region. And stabilization - if it comes - will arrive there a little later than in North America and Europe, resulting in a 2010 forecast that still shows a minimal decline in shipments, while other regions may enjoy a minimal positive growth.

"There are telltale signs that at least some parts of the handset ecosystem may be starting to steady," Burden adds. "Many handset vendors are replacing component inventories after reducing them to very low levels in recent months to keep from overextending as the market dropped. This doesn't necessarily mean the whole market is doing better, but it is good news at least for the component suppliers, some of which were really suffering."

ABI Research's newly updated "Mobile Device Market Share Analysis and Forecasts" database not only provides critical data on vendor market share, vendor ASPs and handset shipments, it also reveals the penetration of advanced features.

It forms part of the firm's Mobile Devices Research Service.

Ericsson Tops New ABI Research Managed Network Services Vendor Matrix Ranking

Phil Goldstein — Fri, 27 Feb 2009 11:25:10 -0500

February 26, 2009 10:25 AM Eastern Time

NEW YORK--(BUSINESS WIRE)--Ericsson has been ranked at the top of the latest Vendor Matrix released by ABI Research.

Alcatel-Lucent and Nokia-Siemens Networks claimed the second and third spots in the company's new evaluation of worldwide managed network services vendors.

Ericsson leads based on the company's overall managed services revenues, global networks managed, and resources dedicated to managed services. Meanwhile Alcatel-Lucent is the leader in innovation with its non-traditional services for electric grid operators, public safety agencies, government, transportation and security agencies, and energy."

The Vendor Matrix is an analytical tool developed by ABI Research to provide a clear understanding of vendors' positions in specific markets. Vendors are assessed on the important parameters of "innovation" and "implementation" across several criteria unique to each vendor matrix.

For this particular matrix, under "innovation," ABI Research examined the services these vendors offer beyond their known areas of core competence, and their non-core managed services.

Under "implementation," ABI Research scrutinized the following criteria: the vendors' revenues, global customer bases, regional presences, the number of employees dedicated to managed services, their solutions, the number of employees transitioned due to managed services, and their managed services contracts.

To view a chart showing the rankings of the "top nine" firms in this Vendor Matrix, please visit. Managed Network Service for Mobile Operators Vendor Matrix (http://www.abiresearch.com/products/vendor_matrix/Managed_Network_Service_for_Mobile_Operators_Vendor_Matrix) Registration on the ABI Research website (free) is required. Access to the rankings and profiles of all companies surveyed is available to clients of ABI Research.

This Vendor Matrix forms part of two ABI Research Services, The Mobile Consumer (http://www.abiresearch.com/products/service/Consumer_Mobility_Research_Service) and Mobile Networks (http://www.abiresearch.com/products/service/Wireless_Infrastructure_Research_Service). For a list of all ABI Research Vendor Matrices, please visit The ABI Research Vendor Matrix (http://www.abiresearch.com/vendor_matrix_home.jsp).

Push-to-Talk Will Reach 8.5% Penetration in North American Mobile Market; But Where's the Rest of the World?

Phil Goldstein — Thu, 12 Feb 2009 11:49:36 -0500

FOR IMMEDIATE RELEASE

Contact: Christine Gallen | Tel: +1 516.624.2542 | Fax: 516-624-2501 | pr@abiresearch.com
To setup a briefing with an ABI Research analyst on this subject, click here.

Push-to-Talk Will Reach 8.5% Penetration in North American Mobile Market; But Where's the Rest of the World?

NEW YORK - February 12, 2009 -

Push to Talk (PTT), the mobile phone feature that enables users to connect virtually instantaneously with other users, is forecast to find its way into 8.5% of the North American market by year-end 2013, but in no other world region will it even begin to approach that market share. What is the reason for this global disregard?

According to ABI Research senior analyst Mark Beccue, it's all about the business model. "Operators that have tried Push to Talk outside the US have missed the essential point," he says: "PTT is a business application. Used in vertical businesses, PTT makes sense: its one-to-many functionality can be very useful. Its best-known exponent, Nextel (now Sprint-Nextel) proved that with its subscriber numbers. But strangely, in other world regions MNOs have failed to market PTT successfully to business users or have opted to market to consumers, and it just hasn't taken off."

In an attempt to boost consumer appeal, a new generation feature called PTX has been created; it extends the PTT principle to include multimedia content. But, says Beccue, "Nobody has proven the use-case for that, any more than for consumer PTT."

But there are some steps operators can take, which could help unlock the PTT market. Steering away from PTT-specific handsets is one. Another more risky move would be to migrate to an open model. Today, most PTT services are proprietary: only those on the same network and owning particular handsets can use them. To overcome the limitation, PTT solutions providers could enable cross-carrier interoperability via downloadable and clientless applications.

Some vendors are addressing those issues: in the UK, Push to Talk Ltd offers downloadable client software which, along with a monthly fee, allows users to do cross-network PTT. And Kodiak Networks offers downloadable and preloadable PTT applications that reduce the need for users to have PTT-capable handsets.

These and other PTT market questions are addressed in ABI Research's new Research Brief, "Push To Talk Services". It forms part of two of the firm's Research Services: Business Mobility and Consumer Mobility.

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$8.6 Billion LTE Base Station Forecast Shows There Is Still Enthusiasm for Deployment

Phil Goldstein — Fri, 09 Jan 2009 11:03:34 -0500

NEW YORK - January 9, 2009 -

More than eighteen operators globally have announced LTE deployment plans, and the tough economy does not seem to have dampened their enthusiasm. In fact, Verizon has announced acceleration of its LTE deployment timetable, bringing the launch forward from 2010 to 2009. Many of the others are looking at a 2011-2012 timeframe, by which time, they hope, much of the current pain will have passed.

According to ABI Research senior analyst Nadine Manjaro, "ABI Research believes that NTT will also deploy LTE in Japan in 2009. We forecast that by 2013 operators will spend over $8.6 billion on LTE base station infrastructure alone. For operators that have already deployed 3G networks, LTE will be a key CAPEX driver over the next five years."

LTE application development will also drive investment as operators work to determine which services to deploy on this high speed, low latency network.

Sprint and Verizon have both announced that they will provide third-party access to their GPS data. "The resulting new applications will tie mobility and presence aspects together to create more compelling services than in the past," says Manjaro. "This is significant because it represents the beginning of a new generation of application development which will leverage the vast amounts of data in operators' networks."

Application developers already talking to these carriers include WaveMarket, Inc. and uLocate Communications, Inc.

ABI Research's recent report "Long Term Evolution (LTE)" charts the LTE timeline, operators' strategies, and migration plans. It discusses IPR, backhaul, and security, includes forecasts for subscribers, base stations and femtocells, and lists planned LTE trials and deployments.

It forms part of the firm's Mobile Networks Research Service.

ABI Research is a leading market research firm focused on the impact of emerging technologies on global consumer and business markets. Utilizing a unique blend of market intelligence, primary research, and expert assessment from its worldwide team of industry analysts, ABI Research assists hundreds of clients each year with their strategic growth initiatives. For information, visit www.abiresearch.com, or call +1.516.624.2500.

Multi-Mode WiMAX/LTE Chips to Hit Markets in 2009, Says ABI Research

Phil Goldstein — Mon, 03 Nov 2008 12:01:15 -0500

NEW YORK, Nov 03, 2008 (BUSINESS WIRE) -- 2009 will see the introduction of a new class of wireless communications chip that features dual-mode support for both WiMAX and LTE, according to ABI Research. The thrust of demand for such chips comes from those wireless device makers seeking to reduce the number of their SKUs; they will welcome the economies of scale that come from creating devices that support both 4G standards.

"Some mobile operators are showing interest in dual-mode chipsets," says ABI Research principal analyst Philip Solis, "and they are backing it with cash. Vodafone, for example, has a foot in both WiMAX and LTE camps. They will use LTE in industrialized regions, and WiMAX in developing nations. In Japan, KDDI may deploy LTE on its own, but as an investor (along with Intel and others) in WiMAX operator UQ Communications, KDDI has an interest in both standards."
These chips are destined for any and all mobile devices, although given that most of the early usage of both LTE and WiMAX will be for data transmission, USB modems, laptops, netbooks, and MIDs are likely to be the first products to include the dual-mode chips.

"Because WiMAX networks will be deployed sooner than LTE, for competitive reasons these dual-mode chips are generally being created by WiMAX chip vendors, particularly the smaller, more agile ones," Solis adds.

ABI Research's study The WiMAX Chipset Market ( http://www.abiresearch.com/products/market_research/WiMAX_ Semiconductors) examines chipset vendors' activities and products. Forecasts include shipments and revenue by a variety of segmentations including device CPE, mobile devices by type, region, main frequency band, and 802.16e/16m.

It forms part of the firm's Wireless Semiconductors Research Service ( http://www.abiresearch.com/products/service/Wireless_Semiconductors Service) which also includes other Research Reports, ABI Insights, an ABI Vendor Matrix, and analyst inquiry support. (Long URLs in this release may need to be copied/pasted into your Internet browser's address field. Remove the extra space if one exists.)

ABI Research is a leading market research firm focused on the impact of emerging technologies on global consumer and business markets. Utilizing a unique blend of market intelligence, primary research, and expert assessment from its worldwide team of industry analysts, ABI Research assists hundreds of clients each year with their strategic growth initiatives. For information, visit www.abiresearch.com, or call +1.516.624.2500. SOURCE: ABI Research

Network Infrastructure Spending Positions Carriers for 4G Services But Proves Competitive for Vendors

Peggy Albright — Wed, 17 Sep 2008 22:16:43 -0400


Wireless Infrastructure Forecasts \| Mobile Networks Research Service
SINGAPORE - September 15, 2008	Contact: Nicole Fabris Contact PR www.abiresearch.com
2008 is delivering mixed results for mobile infrastructure vendors such as Nokia Siemens Networks, Ericsson, and Alcatel-Lucent. "Spending on radio access network infrastructure equipment is expected to grow just 3.4% in 2008 to $53.9 billion by the end of the year," says ABI Research Asia-Pacific vice president Jake Saunders. "But while a number of mobile operators such as Vodafone and Orange have reported reductions in end-user mobile services spending, the need to upgrade key elements of the network is starting to build and is expected to become even more pressing in 2009." ABI Research forecasts the number of base stations to grow from 3.6 million in 2007 to 5.2 million in 2013. In developed markets, mobile operators are looking to cut their underlying operating costs and secure competitive edge through the deployment of 3.5G technologies such as HSDPA and CDMA2000 Rev A. Furthermore the introduction of Mobile Internet Devices such as RIM's Bold, Nokia's E71, Samsung's Omnia, and Apple's iPhone is boosting web-based traffic and email access. Mid-tier devices are also contributing to congestion as they stimulate the adoption of messaging bundles, games and music downloads. "Music, games and messaging are boosting the amount of network traffic," notes senior analyst Nadine Manjaro. "Hence the need for network upgrades." Carriers are looking further afield too. While such 3.5G technologies are helping carriers to roll out new applications and services, they are well aware that 4G technologies such as LTE and WiMAX will be needed to deliver any fundamental shift in the underlying cost of delivering Mbps. In its latest survey of the radio access network marketplace, ABI Research pinpoints clear shifts towards LTE among the CDMA carrier community, complementing commitments from the W-CDMA carrier community. However spending on GSM-related infrastructure still remains strong. Carriers are investing in 3G and positioning for 4G but "good ol' GSM" is not going away any time soon. ABI Research's "Wireless Infrastructure Forecasts" database covers a range of wireless base station numbers: vendor market share, infrastructure revenue broken down by region and technology, and new base station deployments, also presented by region and technology. It forms part of the firm's Mobile Networks Research Service. ABI Research is a leading market research firm focused on the impact of emerging technologies on global consumer and business markets. Utilizing a unique blend of market intelligence, primary research, and expert assessment from its worldwide team of industry analysts, ABI Research assists hundreds of clients each year with their strategic growth initiatives. For information, visit www.abiresearch.com, or call +1.516.624.2500.