The LTE Business Case: Survey

The LTE Business Case: Survey published by Ovum, Ltd. in July, 2009. This report consists of 19 pages and the price starts from US $ 1495.

Introduction

Abstract

We recently surveyed our clients regarding the LTE business case, giving respondents the chance to voice their opinions on the topic. This report summarises the responses received for the survey and highlights the most common and atypical views.

Table of Contents

• Executive summary
• In a nutshell
• Ovum view
• About the LTE business case
• Survey results
• LTE drivers
• New revenues, new services and cost efficiencies are the key drivers for LTE
• LTE deployment issues
• The majority of LTE launches expected by 2013
• Credit crunch will push LTE plans back a year or two
• No consensus on spectrum
• Greatest increase in capex expected one year before launch
• Operations
• Interoperability between networks challenging for LTE operators
• LTE operators must be patient and wait for opex rewards
• Devices
• Modems and data cards will be the first LTE devices
• First LTE handsets to have similar features as today' s devices
• First LTE handsets will be expensive versions of today' s HSPA handsets
• Services
• Internet access expected to be a vital revenue stream for LTE operators
• There are few services that people would pay more for on LTE
• Subscriptions expected to be capped by data allowances and transfer rates
• Data ARPU expected to rise, and voice ARPU to fall
• Data traffic to increase for LTE, but less certainty with voice

List of Tables

• Table 1: Summary of all LTE survey results

List of Figures

• Figure 1: Drivers for rolling out LTE
• Figure 2: Timescales for LTE spectrum assignment and launch
• Figure 3: Impact of macroeconomic conditions on unannounced LTE commercial launches
• Figure 4: Spectrum bands expected to be set aside for LTE
• Figure 5: Percentage increase of annual capex in order to deploy LTE
• Figure 6: Potential challenges for operators launching LTE
• Figure 7: Opex movements for LTE operators
• Figure 8: Time of launch for different LTE devices
• Figure 9: Features in the first LTE handsets
• Figure 10: Comparison of LTE handsets with equivalent HSPA handsets
• Figure 11: Potential of services to generate revenues using LTE
• Figure 12: Services LTE operators may be able to charge a premium for
• Figure 13: Likelihood of LTE operators to implement the following business models to generate revenues
• Figure 14: ARPU fluctuation following LTE implementation
• Figure 15: Change in traffic volumes post LTE launch

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