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Mobile infrastructure spending to dramatically decline: Pyramid Research

Mobile carrier capital expenditures (CAPEX) on infrastructure will enter a progressive decline beginning in 2006 th...


June 22, 2005  


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Mobile carrier capital expenditures (CAPEX) on infrastructure will enter a progressive decline beginning in 2006 that will see infrastructure investments decrease from 47% of total operator CAPEX to 33% by 2009.

While infrastructure spending will remain the largest slice of the CAPEX pie, a new report from Pyramid Research entitled Mobile Operator CAPEX: Charting the Transformation of Mobile Carrier Spending, examines how vendors must adapt their business models to address the evolving mobile operator expenditure patterns.

The report concludes that operator investments are shifting from coverage-based radio network deployments towards advancements in the core network, new applications, and network professional services.

"Increasing network complexity and the fierce competitive market are creating new business opportunities outside of the traditional equipment business for vendors," Pyramid stated in a release.

"The opportunities with managed services, systems integration, performance services, and other consultative services will experience rapid growth over the next several years."