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Arthur D. Little putting its money on HSPA

With over 93 commercial networks in operation, High Speed Packet Access (HSPA) technology is likely to account for ...


February 9, 2007  


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With over 93 commercial networks in operation, High Speed Packet Access (HSPA) technology is likely to account for the majority of investment in global mobile broadband networks over the next five years, according to a new study by Arthur D. Little released today.

By comparison, mobile Wi-Max will be a niche technology within the overall global mobile broadband wireless access market, likely to account for at most 15% of this network equipment market and perhaps 10% of mobile broadband wireless subscribers by 2011-2012, the firm says.

In its latest report, “HSPA and mobile Wi-Max for mobile broadband,” research consultants from its U.S. and European offices interviewed 31 HSPA and Wi-Max equipment vendors, operators running the networks, government regulators and financial investors around the world.

They also collaborated with Altran Telecoms & Media and Praxis HIS to collect some 300 parameters required for a “quantitative assessment of the differences and modeled these in realistic deployment scenarios.

“HSDPA (including HSUPA and HSPA+) is taking the lead as it is a natural migration path for a large number of GSM and UMTS operators already operating commercial networks in 3G spectrum,” it said.

“This will give rise to significant economies of scale on handsets and user devices and a large ecosystem of global suppliers of components, subsystems, equipment and network design and implementation services.”

The technology is the least risky and most understood route to offering broadband mobile services, which can offer speeds comparable to first generation fixed DSL services, the report concludes.