India has the fastest growth for new mobile subscriptions with projected 45% on LTE by 2020

45% Indians will be on LTE (Long Term Evolution)  by 2020: Ericsson Mobility Report

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With 18 million new mobile subscriptions, India was ahead of all other countries in Q3 2014.  (Reuters)

Written by Nandagopal Rajan | Posted: November 20, 2014 2:17 pm | Updated: November 20, 2014 3:33 pm

India is leading mobility growth globally and has the fastest growth for new mobile subscriptions with 18 million net additions in Q3 2014, according to the Ericsson Mobility Report. This is a substantial chunk of the 180 million connections added globally, just under rest of Asia (excluding China) and Africa as a whole, and largest for any country.

However, the most interesting aspect of this growth will be that by 2020, 45 per cent of the country’s population will be covered by LTE. At present the number under LTE in India is insignificant. By then, more than 95 per cent of the Indian population will be covered through GSM/EDGE technology, and over 90 per cent on WCDMA/HSPA networks, says the report. Globally, the growth of LTE will be at the cost GSM/EDGE, shows the report.

The report says “mobile data user demographics are evolving fast in India, with mobile broadband starting to bridge the digital divide  between the rural and urban populations”. “Mobile data usage and services are becoming increasingly mainstream, with a growing proportion of people from lower-income groups now downloading apps and streaming video content from the internet using mobile devices,” it adds.

The report shows that mobile usage is becoming increasingly data driven. In fact, mobile broadband users now send 40 out of every 100 messages through instant messaging apps, rather than SMS, thanks to lower cost, ease of use, ease of content sharing, and a better overall user experience. Similarly, on an average, 3G smartphone users download 10 new apps per month, of which chat and gaming apps account for more than 35 percent

While 61 percent of mobile broadband users are more willing to pay extra for an improved indoor connectivity experience, 80 per cent of mobile broadband users in India want to pay more for rich experience indoors.

Long Term Evolution (LTE), a new generation of mobile network technology, promises to revolutionize the use of data services on the move. Over the past year, it has gained unparalleled support from mobile operators around the world, particularly in North America. Its introduction is now inevitable, despite the major investment needed.

An Overview

LTE is a wireless technology often discussed alongside its more mature alternative, WiMAX, in relation to the evolution of mobile telecom networks to “4G.”* Both LTE and WiMAX technologies can deliver wireless data connectivity that is able to compete with fixed-line broadband services provided by DSL or cable. LTE’s proponents state that it may allow customers to drop their fixed-line broadband connections altogether.

LTE’s primary objective is to enable operators to better and more cost-effectively transport the rapidly growing volume of mobile IP data traffic on their networks. This mobile data traffic is growing exponentially, while the service revenues paid by end users are either flat or falling due to intense competition. This disconnection between income and costs is threatening to undermine the positive revenue-generating potential of mobile data services for operators.

Therefore, LTE offers a long-term route to financial security. Nonetheless, migrating to LTE does require significant investment from mobile operators, and not just in upgrading base stations. For example, operators’ core networks, which carry the consolidated traffic from all base stations, will also need to evolve. Operators will also have to deploy SAE/EPC (System Architecture Evolution/Evolved Packet Core) network elements in parallel with LTE.

LTE technical specifications are defined by the 3GPP (3rd-Generation Partnership Project). The 3GPP’s role is important because it provides the technology with an enormous addressable market. In 2008, 89% of mobile connections worldwide, including those from AT&T and T-Mobile in the U.S., used one of the standards defined by the 3GPP. In addition, in an unprecedented move in the industry, many operators are shifting away from rival technologies and converging on LTE. For example, several CDMA operators, including Verizon Wireless and MetroPCS in the U.S. or Bell and TELUS in Canada, have stated publicly that they will migrate to LTE. LTE offers the next stage in the evolution of the networks on which these users depend for mobile connectivity. Such a large addressable market ensures:

• maximum equipment vendor focus;
• a wide range of devices;
• economies of scale for operators and end users buying equipment; and
• support for international roaming.

Ref

: http://indianexpress.com/article/technology/mobile-tabs/45-indian-will-be-on-lte-by-2020-ericsson-mobility-report/#sthash.4O4vG58n.dpuf

http://www.forbescustom.com/TelecomPgs/LTEP1.html