4G LTE networks are now firmly established in the U.S. with the majority of mobile subscribers using 4G devices. To meet the increasing demand for mobile bandwidth, especially to support video, mobile operators are in the process of upgrading their LTE networks and densifying the cellular architecture.
With service providers expanding their 4G LTE network aggressively, the total five-year spend in the segment is forecast to reach $212 billion in the U.S, according to iGR's new research. The market research firm expects the overall LTE network operating cost to increase, while the operating expense per GB will decline due to increased efficiencies in the network. This includes adding additional channels to existing cell sites and deploying new sites on roof tops, street poles and other 'small cell' locations.
iGR also said that mobile operators are also increasingly refarming 2G spectrum, as well as acquiring additional spectrum resources through auctions and private transactions to add more capacity in the LTE network.
Iain Gillott, president and founder of iGR
The U.S. mobile operators must continue to invest in their LTE networks over the next five years to keep up with increasing mobile demand. This expenditure will include both building and operating their LTE network, a network that will increasingly be densified with metrocells, remote radio heads, and DAS.
