Dell'Oro: CDMA EV-DO infrastructure sees surge in Q1

While all eyes are on the growth of LTE networks, new research from Dell'Oro Group shows that sales of CDMA/EV-DO made up nearly one-third of the mobile infrastructure market's revenues during the first quarter.

Total mobile infrastructure market revenues jumped 22 percent during the first quarter from the year-ago quarter to $9.6 billion. CDMA/EV-DO revenues increased 65 percent with most of the gain coming from North America where Verizon Wireless (NYSE:VZ, for instance, recently introduced the CDMA-based iPhone and uses CDMA EV-DO has a fallback solution to LTE. Dell'Oro noted that North America saw the strongest increase CDMA since the inception of the technology.

"This is not a one-quarter surge in CDMA investment," noted Stefan Pongratz, analyst of mobile infrastructure research at Dell'Oro Group. "North American operators depend heavily on their 3G networks to support mobile data traffic, and they are fortifying their footprints. The growth in CDMA/EV-DO came from many operators such as Verizon, followed by Sprint (NYSE:S), Metro PCS (NYSE:PCS), and Leap (NASDAQ:LEAP), to name a few. 3G infrastructure paves the continent, reaching the most remote locations and it will be the backbone of mobile services for several years while operators build out their LTE networks."

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