Monday, June 1, 2009

Steady Increase Reported in Backhaul Demand

The ever-growing popularity of smart phones is fueling a continuous demand for data service. The increase is helping carriers overcome declining revenues in other areas, but it is also causing the need for a buildup of backhaul systems.

Carriers will need to significantly develop stronger infrastructure in order to handle the increase in demand. According to market research firm Infonetics Research, by 2010, data traffic will surpass voice traffic on mobile networks and profit from backhaul equipment investments is set to explode over the next five years and beyond. Another key figure recently published says demand for mobile backhaul equipment is seen topping $10 billion by 2011.

Infonetics has predicted microwave solutions the big winner. It is estimated that 60 percent of backhaul cell site connections of most regions of the world are currently microwave, and demand is growing fast, including here in the U.S.

To address the demand, SpecEx, the online spectrum marketplace is working to boost their inventory of microwave frequencies and work with carriers to meet exploding customer's demands.

To read the Infonetics Research report, click here.

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