Skip to main content

Why Marketing is Still Problematic for 4G Operators

The development of personal broadband and mobile broadband applications are being enabled by the next generation wireless broadband technologies -- such as WiFi (802.11ac - 802.11ad), LTE and LTE-A (LTE Advanced).

According to the latest market study by Juniper Research, 4G LTE revenues are set to grow rapidly, reaching more than $340 billion by 2017 globally, that's compared to just over $75 billion in 2013.

This latest growth will represent approximately 31 percent of total service revenues from all mobile network services of all generations (2G/3G/4G) at that time, and reflects the continued success of LTE in serving higher value subscribers.

The new market study finds that with LTE gaining momentum over the past 12 months, initially dominated by the enterprise segment, consumer subscribers will begin to adopt services in volume in 2013 and will overtake the enterprise subscriber base in 2015.

Juniper found that with the increased penetration of LTE capable smartphones and other connected devices, Mobile Network Operators (MNOs) will need to develop clear pricing strategies to transition customers to their 4G networks.


"Overall they will have to present customers with innovative services that will meet users’ requirements and, crucially, that users will attach value to. Operators will have to review their tariff structures to balance the need to monetize the greatly increased data throughput, yet still offer attractive packages," said Nitin Bhas, senior analyst at Juniper Research.

Meaning, from this point forward the success or failure of LTE network deployments will be determined by savvy marketing -- or the apparent lack thereof.

For example, in the UK market, EE felt obliged to reduce its initial LTE pricing by approximately 14 percent -- just within weeks of their network launch -- while Three UK has already announced 4G access at no extra cost.

With the twin spectrum issues -- timing of availability and the MNO cost for wireless spectrum -- playing pivotal roles in deciding the speed of network roll-outs, 4G LTE can represent a substantial financial investment that will take several years to recoup.

This capital outlay is viewed by some as a gamble, bearing in mind that at the outset only a comparatively small number of a mobile network service provider subscribers will be LTE-capable.

Furthermore, the vast majority of LTE revenues (almost 70 percent) are forecast to be generated by the North American and Asian markets.

Popular posts from this blog

How Savvy Pioneers Lead the Future of Work

Hybrid and fully remote work are inevitable in the Global Networked Economy where high-performance talent demands flexibility from employers. To enable these progressive work models, organizations are investing in a wide range of technologies to support more agile types of employment.  According to the latest worldwide market study by International Data Corporation (IDC), leading organizations will spend nearly $1 billion on the Future of Work (FoW) in 2023 -- that's an increase of 18.8 percent over 2022. Future of Work Market Development "Work models continue to evolve, but 37 percent of decision-makers in a recent global survey note that Remote and Hybrid work models will be an embedded part of accepted work practices, supported by a continued shift to the cloud, increasingly instrumented and interconnected physical workplaces, and intelligent digital workspaces," said Holly Muscolino, group vice president at IDC . According to the IDC assessment, organizations must mak

Human Resource Transformation Enabled by IT

Many senior executives are taking a proactive approach to digital business transformation in order to achieve their strategic goals. Delivering revenue growth and profitability is now imperative for every function, including Human Resources (HR). The top 3 priority HR technologies this year are skills management, learning experience platforms, and internal talent marketplaces, according to the latest worldwide market study by Gartner. "With a tumultuous global economy, HR technology leaders face a balancing act in 2023," said Sam Grinter, director at Gartner . "Leaders must anticipate greater levels of accountability and demand for measurable outcomes to justify new technology investments." HR Transformation Market Development Forty-four percent of HR leaders report driving better business outcomes is their number one strategic priority for HR technology transformation over the next three years. Growth in headcount and skills (26 percent) and cost optimization (17 p

Global EV Charging Revenue to Exceed $300B

During 2022, fuel prices increased very quickly, partly due to a number of macroeconomic reasons. In fact, the effects of the global COVID-19 pandemic are still impacting fuel prices, with many oil refineries having reduced capacity due to a prior fall in demand. Those significant events and other trends have created a demand for a growing variety of Electric Vehicles (EVs). While EVs have existed for decades, they really became a viable option for more consumers during the past five years. However, although EVs are suitable for some buyer needs, their usability is constrained by the current availability of battery charging infrastructure. EV Charging Market Development According to the latest worldwide market study by Juniper Research, revenue from electric vehicle charging will exceed $300 billion globally by 2027 -- that's up from $66 billion in 2023. Regardless, the Juniper analysis found that fragmentation in battery charging networks is restricting further EV adoption in some