A report last year mentioned that the number of LTE subscribers by 2013 will be 85 million but a new report from research firm Forward Concepts, which looks at trends including 3G evolution and handset shipment growth, claims that the number of LTE users will be 56 million by 2013.
According to the report, HSPA+ will begin to displace W-CDMA and HSDPA technologies, and the first LTE devices to hit the market in 2010 will be data cards and dongles.
The Forward Concepts study also takes a look at some other trends in the industry. The firm predicts that global handset shipments will be down this year, and forecasts a 4.4 percent contraction. The report predicts a resurgence in unit shipments in 2010, however, and calls for a 12.8 percent growth in shipments. The one bright spot for 2009 is smartphones: Forward Concepts predicts a 25 percent jump in smartphone sales.
LCD display technology also will come under pressure from other technologies, including OLED, ePaper, Qualcomm's Mirasol and Liquavista, according to the report. The market for these "post-LCD" displays will grow to over $3 billion in 2013, the report said.
On the operator front, NTT DoCoMo is sticking to its plan to be a first stage deployer, with first roll-out in 2010, while work has begun on outdoor testing of the TD-LTE technology that all three Chinese carriers will use.
DoCoMo chief Ryuji Yamada told the London Financial Times that the cellco has not gone cool on its 2010 timescale. The firm needs to enable new services to respond to UQ's aggressive launch of mobile broadband offerings based on WiMAX, and to stay ahead of established rivals KDDI and Softbank, and the disruptive and data-driven newcomer eMobile. Yamada said DoCoMo wants to be "in the leading group in this technology", and that he sees a move to LTE as a way to be fully compatible with global standards, which will improve device economics. In 3G, DoCoMo moved so early that it deployed a pre-standard implementation of W-CDMA, FOMA. This is now used by 91% of its base, with over 50m subscribers after almost eight years in commercial service, but it has two downsides that will drive DoCoMo to LTE early - over-dependence on Japanese handset makers, with the high costs of slightly off-standard devices; and networks that are older than those of newer cellcos and in areas are becoming obsolete.
The Chinese operators have similar dilemmas, especially China Mobile, which is stuck with an off-standard 3G technology, TD-SCDMA, and wants to move quickly to a platform that brings global economies of scale and allows it to be more cutting edge in services. While it may have virtually no opportunity to get ROI on its 3G spend, it aims also to be in the first group of LTE deployers, though it will be using the TDD strain of the standard.
Earlier this year, it took over the trial sites in Spain that had previously been used by Vodafone and Verizon Wireless for FDD-LTE, and is now reported to be moving this initial test program to China and towards more real world outdoor trials. Sources say these outdoor tests could also involve other Chinese operators, and will involve six vendors working in the Beijing area. Surprisingly, if the insiders are right, these vendors do not include Motorola, which has been the main supplier in the Spanish project, and claims it has a major headstart in TD-LTE because of its extensive experience with TDD mobile broadband, using WiMAX. But the new Chinese tests involve four homegrown vendors (Huawei, ZTE, Datang and Potevio, the latter a Nokia venture) plus Ericsson and Nokia Siemens. The inclusion of more CDMA-oriented suppliers, notably Motorola and Alcatel-Lucent, is likely to follow when CDMA carrier China Telecom starts its own TD-LTE tests.
The testing process determined by the TD-LTE Working Group has three stages - indoor, outdoor and large-scale outdoor testing, the last of these involving two or three major cities with at least 100 base stations each. The local vendors have already been working on indoor testing in China since the start of the year.